Itasca MGA structures credit insurance deal

Aviation managing general agent Itasca has structured an aircraft non-payment credit insurance policy which has helped to provide debt financing for three aircraft leases. 

Itasca MGA, which was created by alternative investment manager Castlelake and Pine Walk Capital, a subsidiary of Bermuda based The Fidelity Partnership, said the solution provided wrapped debt financing with respect to Operating Leases arranged by JLPS Ireland Limited for three 2023-built Airbus A321-271NX aircraft on lease with an ultra-low cost airline. 

The debt was provided by Commonwealth Bank of Australia, Tokyo Branch.

"Itasca MGA is pleased to add JLPS and Commonwealth Bank of Australia to our client base,” said Gareth John, CEO of Itasca MGA, commented “The transaction marks the first deal for Itasca supported by Lloyd's of London insurance capacity and Lloyd's Japan as the coverholder."

Ben Hinshelwood, executive director, corporate client coverage at the Commonwealth Bank of Australia, said: "The Commonwealth Bank of Australia is pleased to support Itasca MGA and JLPS with this financing which aligns with our global aviation strategy across multiple lending products and jurisdictions."

Two aircraft were delivered in October and the third one in November, 2024.

Itasca MGA specialises in underwriting, structuring and managing risk associated with secured commercial aviation financing on behalf of The Fidelis Partnership and Itasca Re Limited, a Bermuda-licensed reinsurance company established by Castlelake that specialises in insurance-backed financing solutions for buyers and owners of commercial aircraft assets.

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