MIAMI, LONDON, DUBLIN, SINGAPORE, February 3rd 2014 - Apollo Aviation Group (“Apollo Aviation”), a multi-strategy aviation investment manager specializing in mid-life and mature aircraft, announced today that it has contracted to purchase five aircraft for US$53 million in the fourth quarter of 2013 on behalf of its second aviation fund, SASOF II. The aircraft include three in-production models (A320ceo family aircraft).
Since SASOF II’s inception, Apollo Aviation has contracted to acquire 44 aircraft, eight engines and one airframe with a total gross purchase price of US$640 million.
2013 overview
The SASOF II fund closed in the first quarter of 2013 with commitments of US$595 million. By year end, it had called US$353 million, representing 59% of available funding. During the year, Apollo Aviation successfully acquired debt financing for SASOF II amounting to more than US$100 million with two international financial institutions. With these funding sources, SASOF II purchased a total of 31 aircraft, one airframe and eight spare engines in the calendar year (2013), which required US$489 million. Eighty-four percent of aircraft agreed for purchase in 2013 have a lease attached and 85% are in-production models.
During 2013, Apollo Aviation’s assets under management grew to US$1.3 billion with a compound annual growth rate (CAGR) of 66%[1]. The Group increased its team to 51 from 38 at the start of the year, which included a number of senior appointments. Among the new team members is Scott J Paige, who was appointed Portfolio Manager of Apollo Aviation Group’s newly established subsidiary, AAG Capital Markets, to manage aviation-related securities.
William Hoffman, Apollo Aviation’s Chairman explained, “2013 has been an important year for us. Through our private equity funds, we have cemented our position as a significant lessor of mid-life in-production aircraft. This next year holds exciting prospects as we continue to make acquisitions on behalf of SASOF II and as the Group branches out into more liquid aviation investments.”
[1] CAGR is calculated from 2004 – 30 June 2013
About Apollo Aviation Group
Apollo Aviation Group is a multi-strategy aviation investment manager that capitalizes on its extensive technical knowledge, in-depth industry expertise and long-standing presence in the mid-life commercial aviation sector. Apollo Aviation manages two private equity funds (SASOF and SASOF II) and several private accounts. These funds provide the equity capital for Apollo’s dynamic and opportunistic approach to aircraft investing including acquiring, refurbishing, marketing and leasing commercial jet aircraft, engines and related assets, disassembly and resale of aircraft and components, and the management of flight equipment assets for leading investment funds and financial institutions. In 2013, Apollo Aviation formed AAG Capital Markets which manages investments in aviation securities. Founded in 2002, Apollo Aviation has grown to nearly US$1.3 billion of aviation assets under management representing over 120 aircraft and 100 aircraft engines. It has offices in the U.S., Ireland and Singapore.
For further information, please visit Apollo Aviation at http://www.apollo.aero
