HALO AirFinance prices $390.2M debut aviation ABS, 4x oversubscribed
What's the deal? HALODealroom has a profile for this one. Try Dealroom → AirFinance priced HALOAN 2026-1, a $390.2 million aviation loan asset-backed securitization and the first ABS issuance from its platform. HALO is a joint venture between GA TelesisDealroom has a profile for this one. Try Dealroom → and Tokyo Century CorporationDealroom has a profile for this one. Try Dealroom →. CitiDealroom has a profile for this one. Try Dealroom → acted as sole structuring agent and lead bookrunner, with MizuhoDealroom has a profile for this one. Try Dealroom → and CitizensDealroom has a profile for this one. Try Dealroom → as joint bookrunners.
Where the money goes: Proceeds funded a portfolio of 33 loans with an aggregate remaining balance of roughly $427.2 million and a weighted average remaining term of about 3.6 years. The loans are secured by 14 narrowbody aircraft, two widebody aircraft, two freighters, and 15 engines, used by 21 operators across 14 jurisdictions.
The structure: HALO issued four classes of fixed-rate secured notes rated by KBRA, maturing in August 2041. These span $295.37 million of 'AA'-rated Class A Notes down to $30.54 million of 'BB-'-rated Class D Notes.
Why it matters: At pricing on August 6, 2026, the notes were more than 4x oversubscribed and achieved the tightest spread for an AA-rated senior tranche from an inaugural aviation loan ABS issuer.
What they're saying: "This milestone transaction marks an important step in HALO's growth strategy and confirms strong investor confidence in our platform," said Marc Cho, co-head and managing director of HALO, citing the oversubscription "against challenging and volatile market conditions."
The endgame: HALO delivers customised lending to airlines, lessors, and investors, spanning new to mature aircraft and engines. Cho said the issuance "establishes a scalable capital markets execution platform." Co-head Takamasa Marito added the venture looks forward to "returning to the capital markets."
The signal: The raise ranks around the 94th percentile among US fintech debt deals all-time, a strong first outing that signals appetite for aviation-backed paper even in a volatile market.
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