8-KOther Events

FTAI Aviation Ltd. 8-K Report, Corporate Update (Aug 4, 2021)

Filed August 4, 2021For Securities:FTAIFTAIMFTAIN

Summary

FTAI Aviation Ltd. (FTAI) is reporting on the pricing of a private offering of Series 2021 Bonds by certain subsidiaries of Jefferson Energy Companies, referred to as "Jefferson." A total of $425,000,000 in aggregate principal amount of bonds were priced, divided into $225,000,000 of Series 2021A Dock and Wharf Facility Revenue Bonds and $200,000,000 of Taxable Series 2021B Facility Revenue Bonds. These bonds are intended to finance projects, and Jefferson bears the economic obligation for repayment. Importantly for investors, the Series 2021 Bonds are special, limited obligations of the Issuers and are not direct indebtedness of FTAI or any governmental entity. The full faith and credit of any governmental body are not pledged. The offering was limited to qualified institutional buyers and institutional accredited investors, indicating a private placement not available to the general public. The closing is expected by August 18, 2021, subject to customary conditions.

Key Highlights

  • 1Jefferson Energy Companies subsidiaries priced a $425 million private offering of Series 2021 Bonds.
  • 2The offering consists of $225 million in Series 2021A Revenue Bonds and $200 million in Taxable Series 2021B Revenue Bonds.
  • 3The bonds will fund projects, with Jefferson bearing the economic obligation for principal and interest payments.
  • 4The Series 2021 Bonds are special, limited obligations and are not direct indebtedness of FTAI or any governmental entity.
  • 5No full faith and credit of any governmental body is pledged for repayment of these bonds.
  • 6The offering was conducted as a private placement to qualified institutional buyers and institutional accredited investors.
  • 7The closing of the bond offering is expected on or before August 18, 2021.

Frequently Asked Questions

This 8-K filing reports on the pricing of a private offering of Series 2021 Bonds by certain subsidiaries of Jefferson Energy Companies, which are related to FTAI Aviation Ltd. (FTAI). The funds raised are intended to finance specific projects.

No, the Series 2021 Bonds are special, limited obligations of the Issuers (Jefferson subsidiaries and Port entities). Jefferson bears the economic obligation for payment, and these bonds do not constitute direct indebtedness of FTAI Aviation Ltd. or any governmental body. The full faith and credit of any governmental entity is not pledged.

The Series 2021 Bonds were offered privately to "qualified institutional buyers" under Rule 144A and "institutional accredited investors" under the Securities Act of 1933. This means the offering was not made to the general public.

The closing of the Series 2021 Bond offering is expected to occur on or before August 18, 2021, subject to certain limited conditions.