05 Sep 2025
#1 September 2025: Irish Aircraft Leasing Newsletter
Avolon Receives Shareholder Approval for Order of 90 Airbus Aircraft
Avolon has confirmed that its order for 75 Airbus A321neo aircraft and 15 Airbus A330neo aircraft has now become unconditional, following approval by the board of Bohai Leasing Co., Ltd., Avolon’s 70% shareholder.
The original order was announced on 24 July 2025 and reflects Avolon’s long-term growth strategy across both narrowbody and widebody segments.
Executive Jet Support Announces Latest Transaction with AerCap
Executive Jet Support (EJS) has announced the purchase of an Embraer E195 (MSN 19000069) from AerCap. The aircraft is designated for part-out and will be inducted into EJS’s part-out pipeline at its facility in Bydgoszcz, Poland once conditions permit.
The transaction strengthens EJS’s role in the aftermarket segment, particularly in mid-life regional aircraft.
SMBC Aviation Capital Closes GAEL II Fund
SMBC Aviation Capital has closed its second Japanese-focused aviation investment fund, GAEL II (Global Aviation Equipment Leasing). The closed-end fund raised equity from 14 Japanese investors and will acquire a portfolio of eight aircraft directly from SMBC Aviation Capital.
The launch of GAEL II follows the success of GAEL I, established in 2019.
Michael Littleton, Head of Aircraft Trading at SMBC Aviation Capital, stated:
“GAEL II offers Japanese equity investors the opportunity to access stable, predictable returns through a high-quality aircraft portfolio serviced by SMBC Aviation Capital. We’re pleased to have collaborated with our colleagues at Sumitomo Mitsui Banking Corporation to deliver this transaction.”
Acumen’s Take
On Avolon’s Airbus Order Approval
With shareholder approval secured, Avolon’s 90-aircraft Airbus order represents one of the largest single commitments from an Irish lessor this year. The A321neo continues to lead demand among fuel-efficient narrowbodies, while the A330neo order indicates rising confidence in widebody recovery. This positions Avolon to respond dynamically to evolving airline requirements across medium and long-haul markets.
On Executive Jet Support’s E195 Part-Out Deal
The acquisition of a mid-life E195 for teardown reflects growing demand for regional aircraft components, particularly as smaller operators extend the lifespan of ageing fleets. As lessors and MROs focus on cost control, part-out strategies offer compelling asset recovery value—especially for the E-Jet family, which maintains strong global utilisation.
On SMBC’s GAEL II Fund Closure
The successful closure of GAEL II underscores the continued appetite among Japanese investors for aviation assets backed by top-tier servicing platforms. With 14 investors and a portfolio sourced directly from SMBC, the fund showcases the effective blending of leasing expertise and investor trust—critical ingredients for structured aviation investment vehicles in a post-COVID market.
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