We advised Avia Solutions Group, a globally leading aviation group, in issuing USD 300 million in senior unsecured bonds with a tenure of 5 years at a rate of 9.75%. This issuance includes the refinancing of a previous bond issue that had an outstanding balance of USD 180 million. The surplus funds will be allocated towards the Group’s strategic business development initiatives.

The demand for the bonds strongly exceeded the supply by almost two times. Investors from all over the world invested in the bonds, including some of the largest funds and asset managers from the US, Europe, and Asia.

“The successful bond issue is clear proof of investor confidence in the Group and its growth potential. We will use the funds raised to further expand our aviation group globally and continue to invest in our fleet capacity, thus strengthening our leading position in the market,” says Jonas Janukėnas, CEO of Avia Solutions Group.

Avia Solutions Group is the world’s largest ACMI (Aircraft, Crew, Maintenance, and Insurance) services group operating a fleet of 212 aircraft. In 2023, the Group’s net profit grew by 5.5 times to EUR 68.2 million, adjusted EBITDA by 36% to EUR 392 million, and revenue by 22% to EUR 2.3 billion.

The Group is a parent company to over 100 subsidiaries providing a range of aviation services including MRO (Maintenance, Repair, and Overhaul), pilot and crew training, and ground handling, among others. Avia Solutions Group is supported by 12,000 highly skilled aviation professionals.

Our services and project team

We assisted the client as a local counsel in Lithuania and Latvia to secure this bond issue. Our team consisted of partners Tomas Kontautas and Rūdolfs Eņģelis, counsels Lina Aleknaitė – van der Molen and Vaiva Mašidlauskienė, senior associate Inese Heinacka, and others.

Citibank and Morgan Stanley served as joint bookrunners for the transaction.