Picture of Avation logo

AVAP Avation News Story

0.000.00%
gb flag iconLast trade - 00:00
FinancialsAdventurousSmall CapNeutral

REG - Avation PLC - SALE OF BOEING 777-300ER AIRCRAFT

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20250611:nRSK4350Ma&default-theme=true

RNS Number : 4350M  Avation PLC  11 June 2025

 Via RNS and SGXNET

AVATION PLC

("Avation" or "the Company")

SALE OF BOEING 777-300ER AIRCRAFT

Avation PLC (LSE: AVAP), announces that it has entered into an agreement to
sell a Boeing 777-300ER widebody aircraft, currently on lease to Philippine
Airlines.

Asset valuations for widebody aircraft have performed strongly since the end
of the COVID pandemic and this sale transaction is contracted to generate a
material profit above book value. After repayment of associated debt finance
the transaction is expected to release around US$33 million in net cash
proceeds.

The company will use the net cash proceeds for overall debt reduction and may
strategically reinvest these proceeds into high-quality narrowbody aircraft in
the secondary market, prioritizing assets with extended lease terms and
creditworthy lessees. This approach is designed to enhance the resilience and
diversification of Avation's fleet.

Subject to customary closing conditions, the transaction is expected to be
completed in the third quarter of 2025.

Jeff Chatfield, Executive Chairman of Avation, commented: "We are delighted to
enter into this agreement. We believe that the market values for modern
commercial aircraft are materially higher than our book values and we are
experiencing favourable market conditions. This Boeing 777-300ER has been a
valuable investment, however, by policy we try to focus on aircraft types
currently in production and we formed a view that it was time to divest this
asset. The reinvestment of net proceeds will further optimize our fleet's risk
profile, reduce leverage and allow further diversification thus lowering the
portfolio risk."

-ENDS-

Enquiries:

Avation PLC - Jeff Chatfield, Executive
Chairman                              +65 6252
2077

Avation welcomes shareholder questions and comments and advises the email
address for questions is: investor@avation.net (mailto:investor@avation.net)
and the Company provides an investor Q & A during the conference call
associated with release of results. The head office telephone number is +65
6252 2077.

Notes to Editors: Avation PLC is an aircraft leasing company, headquartered in
Singapore, owning and managing a fleet of commercial passenger aircraft which
it leases to airlines around the world. More information on Avation is
available at www.avation.net (http://www.avation.net) .

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  AGRFLFELRLILLIE

Recent news on Avation

See all news