Air India Express Finalizes 737-8 Sale and Leaseback Agreement with Griffin and Bain Capital

Air India Express, a subsidiary of the Tata Sons-owned Air India, has recently cemented a significant sale and leaseback agreement. This deal, involving ten Boeing B737-8 aircraft, is in collaboration with Griffin Global Asset Management and Bain Capital. The low-cost carrier (LCC) took delivery of the first of these aircraft in November 2023, with plans to receive the remaining nine by March 31, 2024.

Nipun Aggarwal, a director at Air India Express, highlighted the importance of this move in the context of Air India group’s broader transformation goals. He emphasized that the inclusion of these new aircraft is a crucial step in modernizing the airline’s fleet, which aligns with its strategic objectives.

The current fleet of Air India Express includes six B737-8s, twenty-six B737-800s, and three wet-leased A320-200Ns. Additionally, the airline has an order for forty-seven more B737-8s. The ownership module from ch-aviation reveals that two of the latest B737-8s, specifically VT-BXB (msn 61647) and VT-BXH (msn 60914), are under the ownership and management of the Griffin/Bain partnership.

Griffin and Bain Capital initiated their joint venture in early 2020, aiming to develop a robust commercial aviation leasing and asset management platform. This partnership combines Bain’s capital provision with Griffin’s management expertise. They have since been active in the sale and leaseback sector, facilitating deals with several major airlines including Iberia, Aer Lingus, British Airways, and Aeroméxico.

Ryan McKenna, the Chief Executive Officer of Griffin, expressed enthusiasm about the evolving partnership with Air India Express. He commended the Air India management team for their efforts in revitalizing the airline and expressed anticipation for a growing and enduring relationship. This deal marks a significant milestone for Air India Express in its ongoing fleet modernization and expansion strategy, reflecting the dynamic nature of the global aviation leasing industry.