ISE to create dedicated exchange for aviation debt

Monday 20 January 2014 17.50
Ireland is a base for a large number of high-value aviation firms
Ireland is a base for a large number of high-value aviation firms

The Irish Stock Exchange is to create an exchange dedicated to aviation industry debt instruments.

The ISE said it was already home to 26 specialist debt instruments with a value of $12.7 billion and the creation of a dedicated exchange would improve investor reach, while also making the process cheaper and more efficient.

Some of the aviation-related debt already on the ISE includes a $927 million instrument from International Airlines Group and $1 billion in bonds relating to Emirates Airlines.

The ISE said it had worked closely with Enterprise Ireland’s Aviation Forum, as well as stockbrokers and aircraft leasing companies, to create its plan for a dedicated aviation exchange.

Aircraft maker Boeing has welcomed the decision, saying that it expects public capital markets to provide one fifth of industry financing this year.

“Ireland’s unique position at the epicenter of global aircraft leasing is well recognised,” said Kostya Zolotusky, the company’s managing director for capital markets development and leasing. 

The ISE announcement was made on the eve of the Global Air-finance Conference 2014, which takes place in Dublin’s Four Seasons Hotel from tomorrow.