Willis Lease Finance, a lessor of commercial aircraft engines and a global provider of aviation services, and Blackstone Credit & Insurance (BXCI) formed a strategic aircraft engine leasing partnership with plans to deploy over $1 billon in the next two years in current and next generation aircraft engines and select aircraft. This partnership brings together an engine leasing specialist with Blackstone’s scaled private credit business to focus on the engine asset class.
The partnership leverages Willis Lease’s position as a pioneer in aircraft engine leasing and its growing asset management platform. Willis Lease has identified a seed portfolio and near-term pipeline of high-quality engine assets that are expected to close into the partnership, providing immediate scale and diversification across engine types and airline customers globally.
“We are excited to partner with BXCI, whose scale and long-term capital commitment will accelerate the growth of our asset management business,” Austin C. Willis, CEO of Willis Lease, said. “Blackstone is a leader in asset-based credit, and their investment demonstrates the strength of our position in aircraft engine leasing and their belief in our ability to generate attractive returns through disciplined asset selection and active management.”
Scott Flaherty, chief financial officer of Willis Lease, added, “The Blackstone relationship provides further capital diversification to the Willis platform. We are excited about this new relationship and the growth opportunities this brings to our business.”
Aneek Mamik, senior managing director at Blackstone Credit & Insurance, said, “Willis is a leading lessor of commercial aircraft engines and brings unparalleled technical expertise, deep customer relationships and a proven track record. This opportunity is consistent with BXCI’s objectives of building programmatic, differentiated origination in large addressable markets with a focus on hard assets and strong downside protection.”
Alex Buck, principal at Blackstone Credit & Insurance, said, “We look forward to partnering with the WLFC team to support the growth of their platform and deliver essential engine solutions for the global aviation fleet.”
BNP Paribas served as sole structuring agent and advisor to BXCI.
