Global Knafaim Leasing to Acquire A320-200 for $20 Million with Existing Lease

Global Knafaim Leasing has entered into an agreement to acquire a 2010-built Airbus A320-200, together with its existing lease to an airline based in the Caribbean.

The Israeli aircraft lessor estimates the gross acquisition cost, including transaction expenses, at approximately $20 million. After adjustments for maintenance reserves and a security deposit held by the seller, estimated at $3.5 million, the net payment at closing is expected to be approximately $16.5 million.

Global Knafaim expects to finance $11 million of the purchase through a full-recourse loan from an Israeli bank, with the remaining amount funded from internal resources. The bank’s credit committee has approved the proposed financing, although a binding loan agreement has not yet been signed.

The existing lease runs through the second quarter of 2029 and is expected to generate approximately $4.5 million in rental income over its remaining term. The Caribbean airline will become a new customer of Global Knafaim upon completion.

Under the lease, the airline is required to make monthly maintenance reserve payments and return the aircraft in accordance with specified maintenance conditions. Global Knafaim will assume the seller’s obligations relating to those reserves and certain maintenance costs.

The parties are targeting completion by the end of November 2026, subject to customary closing conditions, including transfer of the aircraft and lease rights and the absence of material adverse changes.

The seller, lessee and aircraft serial number were not disclosed.