Waypoint closes $87.5 million loan facility


Macro of Alexnader Hamilton portrait on the U.S. ten dollar bill.

Irish lessor Waypoint has closed on an $87.5 million loan from Sumitomo Mitsui Banking Corporation (SMBC) and Bank of Tokyo-Mitsubishi (MUFG).

It has the option to upsize the term-loan facility, which it will use to refinance aircraft from a previous warehouse facility.

Alan Jenkins, CFO and COO of Waypoint, said: “We are very pleased that SMBC and MUFG have led this latest financing facility for Waypoint. SMBC will also act as agent for the lender group. Lenders recognise the value of Waypoint’s global platform and leading position in the helicopter leasing sector, which has bolstered our strength through a challenging market environment.”

This comes off the back of Waypoint extending its revolving credit facility to $390 million, with more than $100 million now set to mature in late 2019.

Koichi Tanaka, general manager of the global aviation and maritime finance department at SMBC Europe, said: “We are pleased to announce this term-loan transaction with Waypoint. Our support reflects the prominent role Waypoint has established in the helicopter leasing market, and we look forward to opportunities to support their continued success.”

Waypoint has more than $1.2 billion in firm and optional orders for more than 95 helicopters set for the next five years. The lessor has more than 145 helicopters leased to 32 customers in 30 countries.

Regional Growth

This deal will mark a solid opportunity to boost operations in the Asia-Pacific region. This follows Waypoint’s first transaction in China in March.

Oliver Althoff, MD of capital markets and treasury at Waypoint, said: “The addition of Asia-Pacific based lenders as part of this transaction will further facilitate opportunities for regional engagement and growth. This facility is well-structured, backed by a very attractive portfolio of aircraft and enables Waypoint to continue to support our customers for the long-term.”

Asia isn’t the only region Waypoint has expanded in to. It closed its first deal in Colombia last month, signing a sale and leaseback agreement with Colombian operator HELICOL for one AW139.