GE-backed Altitude Aircraft Leasing May Revive IPO
Altitude Aircraft Leasing, a trust backed by General Electric Co. GE -0.86%is looking to revive its plans for an initial public offering in Singapore that could raise between $500 million to $750 million, people in knowledge of the deal said Friday.
The company withdrew its offering in Singapore in late 2007, the peak of the global financial crisis. The IPO, if successful, could make it the first aircraft-leasing trust to list in Asia, one of the people said.
The GE-backed company intends to list via a business trust in Singapore, which would mean that the company can pay distributions directly from operating cashflow rather than from accounting profit.
Singapore has been a preferred destination for listings via business trusts and real estate investment trusts as investors here prefer assured yields from investments, as opposed to Hong Kong, where investors usually seek a first-day pop or capital growth.
GE Capital Aviation Services, the U.S. and Irish commercial aircraft financing and leasing business of GE, has a fleet of over 1,710 owned and managed aircraft with approximately 235 airlines in over 75 countries.