B&B Air to invest in new leasing business
Babcock & Brown Air will be partnering with the current management team of Babcock & Brown Aircraft Management to invest in BBAM, a newly formed, privately-held aircraft leasing and management business.
B&B Air has agreed to purchase a 15 per cent interest in the new business, which will provide management services to B&B Air and will service B&B Air's portfolio. At closing, the remaining 85 per cent interest in the new business will be owned by the current management team of Babcock & Brown Aircraft Management. In a related transaction, B&B Air has also entered into an agreement to repurchase 2,011,264 B&B Air shares from Babcock & Brown at a price of $8.78 per share. These repurchased shares represent approximately 6.6 per cent of B&B Air's outstanding shares as of December 31, 2009.
