FTAI's Strategic Capital Initiative Secures Commitment for $2.5 Billion of Asset-Level Debt Financing

Financing to be Used to Fund Acquisitions of On-Lease 737NG and A320ceo Aircraft

FTAI Aviation Ltd. (NASDAQ: FTAI) (“FTAI” or the “Company”) today announced its Strategic Capital Initiative (“SCI”) has obtained a commitment for $2.5 billion of asset-level debt financing led by global investment firm ATLAS SP Partners (“ATLAS SP”), the structured products business majority owned by Apollo funds, and Deutsche Bank AG, New York Branch. FTAI believes this debt financing will provide the SCI the ability to deploy $4.0+ billion of total capital into on-lease 737NG and A320ceo aircraft while allowing FTAI to maintain an asset-light business model. All engines owned by the SCI will be powered exclusively via engine and module exchanges with FTAI’s Maintenance, Repair and Exchange (“MRE”) business.

“We are thrilled that our Strategic Capital Initiative has secured this financing commitment,” said Joseph P. Adams, CEO and Chairman of FTAI. “We believe this will allow the SCI to be one of the largest investors focused on mid-life, on-lease aircraft and we are grateful for the support of SCI capital partners and lenders, whose confidence in our business affirms and amplifies our strong momentum.”

Mr. Adams continued, “This is an exciting time for FTAI as our MRE offering continues to penetrate the market and transform the way asset owners think about engine maintenance. With a $22 billion total addressable market and only 5% market share today^*, we believe we are in the early innings of growth for our Aerospace Products business. We are also grateful for our growing customer base, and we look forward to driving cost and time savings for more asset owners with our differentiated Maintenance, Repair and Exchange services.”

John Zito, Co-President of Apollo Asset Management said, “We are excited for ATLAS SP to support FTAI’s Strategic Capital Initiative in its inaugural asset-level debt financing. We believe this financing provides ATLAS SP clients with compelling, risk-adjusted returns, and demonstrates our continued leadership in leading inaugural issuances and financings for our clients. We are pleased to be partnering with the FTAI Strategic Capital Initiative team and their differentiated platform.

Carey Lathrop, CEO of ATLAS SP continued, “We are honored to have served as structuring agent and lead arranger and to have been able to commit $2 billion directly in support of FTAI’s Strategic Capital Initiative. With global travel at record highs, the tailwinds for the aircraft finance industry are robust, and we look forward to building our relationship with FTAI through future bespoke financings. FTAI’s newly launched Strategic Capital Initiative combined with its innovative approach to aircraft engine maintenance services will lead to numerous ways to partner in the future.”

The financing commitment is subject to certain customary conditions.

* $22 billion total addressable market based on total maintenance dollars spent industrywide in 2024 on CFM56-5B/7B and V2500 engines, and FTAI’s 5% of market share is based on total revenue from Aerospace Products in 2024.

Advisors

In connection with the launch of FTAI’s Strategic Capital Initiative, Kirkland & Ellis LLP, McGuireWoods LLP and Gibson, Dunn & Crutcher LLP are serving as legal counsel and Lincoln International LLC is serving as financial advisor. Clifford Chance LLP is serving as counsel to the 2025 Partnership lenders.

ATLAS SP Partners served as the sole structuring agent and lead arranger on the financing, and Deutsche Bank served as an arranger.