Standard Chartered Bank agreed to acquire 14 narrow body aircraft from GE Commercial Aviation Services (GECAS) through Pembroke Group.
Aircraft leasing, financing and management firm Pembroke, which is based in Dublin, Ireland, was acquired by Standard Chartered PLC in late 2007 to provide an enhanced platform for the bank to offer financial solutions and meet the growing demand for aircraft leasing in its markets across Asia, Africa and the Middle East.
The portfolio of 14 aircraft consists of one A320-200 and 13 B737-800s and has an average age of just over a year. All aircraft are currently on long-term lease to airlines in StanCharts strategic geographic footprint in China, Korea, Kenya and the Philippines.
We continue to see opportunities across our markets in the aviation sector, particularly in the areas of aircraft leasing and lease financing," said Mike Rees, CEO of wholesale banking at StandChart. "Our acquisition of Pembroke has strengthened our ability to further accelerate our aviation finance business. The purchase of this portfolio reflects our ongoing focus on our strategy of growing our client capabilities within our key geographies and market segments.
The long-term view for the aviation sector remains strong," said Sean Wallace, group head of corporate finance at StanChart. "Despite the current economic environment, many of our key markets in Asia Pacific and Africa are still forecast to deliver healthy traffic growth rates -- with some even set to exceed six per cent over the next 20 years -- which will continue to drive demand for new aircraft. Our acquisition of these new, in-production and highly marketable, narrow body aircraft further develops our portfolio and enhances our ability to serve our clients in these key markets.