CDB Aviation seeks growth as it confirms Boeing order

Mon Mar 13, 2017 7:02pm EDT
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By Tim Hepher

(Reuters) - China's CDB Aviation Lease Finance may place further jet orders and make selective acquisitions as it expands globally after going public with an order for 30 Boeing airliners.

Confirming a Reuters report, the Dublin-based arm of China Development Bank identified itself as the buyer for 30 Boeing Co (BA.N: Quote) 737 MAX 8 aircraft.

It was the first such announcement since leasing veteran Peter Chang became chief executive in December with a remit to expand.

"Our model is very clear: we will become a global leasing platform, which means international, including non-Chinese and Chinese (activities)," Chang told Reuters.

It comes as Boeing and Airbus (AIR.PA: Quote) face a slowdown in the aerospace business cycle. Several airlines are talking of postponing taking jets due to economic concerns.

"To a certain extent it has already started, and it is good for us as a long-term player. It could very well mean that it is an opportunity for us to place another order," Chang said.

"We do not want to be aggressively big for the sake of it, but we are aggressive and we are going to grow," he added.

"We will be looking at $3 billion to $4 billion a year growth ... not to the point of being too risky, but we will have a basic skyline (sequence of deliveries) from manufacturers and we will have a healthy order book," he said.   Continued...

The Boeing logo is seen at their headquarters in Chicago, in this April 24, 2013 file photo.   REUTERS/Jim Young/File Photo