Air India seeks bridge loan of $500 million

Written By Unknown on Jumat, 18 April 2014 | 23.25

The state-run airline is offering the aircraft as security and will repay the loan after it concludes a sale and lease- back arrangement, it said, adding there will be no government guarantee for the loan.

National carrier Air India is seeking a 'bridge loan' of up to USD 500 million for taking delivery of four Boeing 787 Dreamliner aircraft from an ongoing order, according to a tender document on the airline's website.

Air India, which is due to take delivery of four 787 aircraft between May and November, has invited offers from banks or financial institutions to arrange the bridge financing for a period of six months to one year.

The state-run airline is offering the aircraft as security and will repay the loan after it concludes a sale and lease- back arrangement, it said, adding there will be no government guarantee for the loan.

The four new aircraft will take Air India's Dreamliner fleet to 18 by November.


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