Global Jet Capital CEO Shawn Vick
Business aircraft financial solutions provider Global Jet Capital has closed its fifth asset-backed securitization (ABS), with the BJETS 2021-1 ABS that closed yesterday adding $663 million to its securitized assets and bringing its total to more than $3.6 billion. It has also issued more than $2.9 billion in bonds.
Global Jet Capital’s focus on financing and leasing super-midsize and large-cabin business jets no older than 10 years old but preferably younger than five years old is paying off, according to CEO Shawn Vick. “There is an addressable market in these categories of $12 to $14 billion,” he said, “and our ability to underwrite $500 to $800 million means there is ample opportunity, and we can be highly selective.”
Global Jet Capital has returned to the ABS market after a four-month hiatus, another culmination of strong secondary market volume and investor demand observed in the last six months. However, some investors are still scratching their heads over whether they are getting paid appropriately for the risks.