OCTOBER 25TH, 2016
Investec sells interest in Goshawk Aviation
Investec Aviation Finance, a unit of Investec Bank, today announced that it has sold out of Goshawk Aviation Limited (Goshawk) and Goshawk Management Holdings Limited (Manco) to its co-shareholders Chow Tai Fook Enterprises (CTFE) and NWS Holdings Limited (NWS).
Co-investors CTFE and NWS each have increased their respective stakes in Goshawk and Manco from 40% to 50% through the sale by Investec.
Goshawk is the third aircraft leasing platform Investec has established, the other two being Investec Global Aircraft Fund and Investec Aircraft Syndicate Limited, both of which are still wholly managed by Investec. Combined, these three leasing platforms have to date invested in over US$5.5bn of aircraft.
Goshawk was established by Investec in November 2013, with initial co-shareholders CTFE and the Cheung Kong group. Subsequently, the Cheung Kong group sold out of Goshawk and NWS became a shareholder, with the Cheung Kong group then establishing its own successful aircraft leasing platform ; Accipiter. Today, Goshawk manages a portfolio of nearly 90 aircraft with additional commitments taking its value (funded and committed) to in excess of US$4.1bn.
Goshawk has aircraft in 25 countries on lease to 34 airlines, including many of the world’s flag carriers and market leading LCC’s such as Etihad, American Airlines, Iberia, Air China, Ryan Air, Indigo and Lion Air. Goshawk has also established a strong presence with banks and institutional debt providers globally and is a sought after financial counterparty as evidenced by the strong support it has received across its secured and unsecured debt facilities.
From its establishment until early 2015, Investec was the sole Investment and Asset manager for Goshawk. Thereafter, a separate management company (Manco) was established to take over this function and a number of Investec employees moved into Manco, including Ruth Kelly (CEO), Andy Carlisle (COO), Peter Watson (CCO) and Anand Ramachandran (CFO). Since then the Manco team has been built out substantially to a stand-alone, full service operating lease platform.
David Phillips, co-head of Aviation Finance based in Sydney said: “When it was first established Investec had a vision for Goshawk to become one of the world’s leading aircraft leasing platforms. We are confident that the foundations have now be laid and it is well on its way to achieving that outcome and we have every confidence that CTFE and NWS are the right shareholders to take it to that next level. It has been a pleasure to work with our co-shareholders and the Manco team over the last few years and very much look forward to their continued success and our on-going strong relationship with them”.
Alok Wadhawan, co-head of Investec Aviation Finance based in London said: “Goshawk is a great example of the business model Investec has been focussed on in aviation finance, that being to partner and co-invest with sophisticated investors across the aviation finance capital stack to deliver superior risk adjusted returns from the provision of capital to airlines and lessors. In addition to Investec’s equity leasing platforms, we also manage third party capital across numerous debt funds where we have the support of institutional investors who are attracted to our origination, execution and risk management capabilities. Investec remains focussed on working with existing and new investors in future equity and debt funds, as well as our substantial proprietary balance sheet activities, ensuring we remain a leading provider of capital solutions to our global client base of lessors, airlines and manufacturers.”
Investec will continue to provide a number of support services to Goshawk in the short term and remains a key provider of treasury management solutions to the business.