ANNOUNCEMENT 29 Mar 2019

On March 29th, 2019, the Japanese Bank of International Cooperation (JBIC) announced a loan for Japanese ORIX Aviation Systems Limited to acquire shares in an Irish aircraft leasing company called Avolon.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

JBIC (2019) オリックス株式会社による、アイルランドの大手航空機リース会社Avolon Holdings Limitedの株式取得資金を融資 「ORIX Corporation financing acquisition of shares in major Irish aircraft leasing company Avolon Holdings Limited」
Available at:
https://www.jbic.go.jp/ja/information/press/press-2018/0329-012014.html

Inception date: 29 Mar 2019 | Removal date: open ended

Financial assistance in foreign market

On March 29th, 2019, the Japanese Bank of International Cooperation (JBIC) announced a $600 million USD loan for Japanese ORIX Aviation Systems Limited to acquire shares in an Irish aircraft leasing company called Avolon. The total co-financed loan will be backed by Mizuho Bank, Ltd., Sumitomo Mitsui Banking Corporation, and Mitsubishi UFJ Bank, Ltd for a total of $1 billion USD. Avolon duty is to purchase aircraft directly from aircraft manufacturers and leasing them out. As of 2018, Avolon became the 3rd largest fleet of aircraft in the world. The loan's intention is to support ORIX's expansion overseas and increase the business development of Japanese companies in the field of aircraft leasing. 

Overseas investment loans 
JBIC provides direct loans named overseas investment loans to Japanese companies, overseas affiliates or joint ventures where Japanese companies hold equity interests and governments or financial institutions partying with such overseas affiliates. Loans support projects in specific sectors or with a specific purpose of interest to Japan. Further information can be found on the Bank’s website under overseas investment loans.

The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets and from foreign subsidiaries

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AFFECTED PRODUCTS

 
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