Boeing 737s bought by Dubai aircraft lessor Novus

UAE-based global aircraft leasing company purchases jet liners in latest deal following recent launch of $300m fund with Japanese financial group.

A Lion Air passenger plane on the tarmac of Tjilik Riwut Airport in Palangkaraya, Indonesia. The Dubai aircraft lessor Novus has just bought three Boeing jets to lease to the carrier. Darren Whiteside / ReutersShow less

Novus Aviation Capital, a global aircraft leasing platform based in Dubai, has bought three Boeing 737-900ER aircraft from the Indonesian budget carrier Lion Air.

Novus said the B739ER aircraft have been placed on long operating leases with the airline, Indonesia’s biggest budget carrier.

“We are delighted to have concluded this transaction with a leading low-cost carrier in the Asean region and to have added a new client and a popular Boeing 737 variant to Novus’ growing portfolio,” said Mounir Kuzbari, the Novus managing director. “We hope this will be the first of many such transactions with Lion Air.”

Edward Sirait, the chief executive of Lion Group, said: “We are very pleased to add Novus Aviation Capital to Lion’s panel of lessors and, as we move forward, we hope to expand and deepen our cooperation to our mutual benefit.

“Also, being the launch customer for the B739ER, we are glad to note that the number of investors in this aircraft type continues to see a steady increase.”

Last month, Novus leased a B777-200ER aircraft to the Russian operator VIM Airlines for five and a half years, according to the Novus website. The aircraft was previously on lease to Malaysia Airlines Capital said Maher Kuzbari, the executive vice president at Novus. “We are pleased to partner with VIM Airlines on this transaction, and we look forward to closing other deals in the future”.

Also last month, the Dubai company announced it and Sumitomo Mitsui Trust Bank, one of Japan’s top financial institutions, had launched the US$200 million Ortus Aircraft Leasing Fund (Ortus).

Novus is a co-sponsor in Ortus and will provide its aircraft lease management services to the fund through its global platform, the company said. “Ortus is designed to capture the demand from Japanese institutional investors and will consist of a portfolio of global airlines and commercial aircraft manufactured by Boeing and Airbus. The fund will predominantly focus on sales and leaseback equity investments,” Novus said on its website.

This was SuMi TRUST’s first sponsorship of an equity aircraft leasing fund.

“After successfully growing our expertise and lending portfolio in the aviation industry, we continue to be confident that this industry, with the right risk management, will see further growth and offer sound investment opportunities,” said Kengo Noguchi, the managing executive at SuMi TRUST.

Safwan Kuzbari, the president and chief executive of Novus, said: “We are delighted that a reputed international institution like SuMi TRUST, which has already established a significant presence in the aviation finance arena, has chosen to sponsor this fund. These initiatives continue to underscore Novus’ ability to be a frontrunner in the aviation space with a keen understanding of the global aviation market and investment trends.”

Novus is an independent, privately-held aircraft leasing platform, focused on investing in commercial aircraft assets. It has offices in the Middle East, Europe and Asia. The company currently co-owns and manages aircraft-related projects worth about $3 billion, it said.

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