Qatar-based Lesha Bank LLC has finalized an agreement with Dublin-based lessor Avolon to acquire a portfolio of 33 commercial aircraft, pushing the bank’s total managed fleet past 75 airframes. The transaction, announced on September 28, 2026, was executed through an investment structure on behalf of the Lesha Aviation Fund.

In a press release issued by Lesha Bank, the company outlined that the acquisition aligns with its strategy to scale a Shari’a-compliant aviation investment platform. The newly acquired aircraft are currently leased to 25 different global airlines, providing immediate and diversified income streams for the fund. The portfolio will be managed by Lesha Aviation Services.

Strategic growth in aviation leasing

The acquisition represents a substantial expansion of Lesha Bank’s footprint in the commercial aviation sector. By targeting established lessees and a strong technology mix, the bank aims to secure long-term earnings resilience and deepen its presence in key global markets.

Mohammed Ismail Al Emadi, Group Chief Executive Officer of Lesha Bank, emphasized the disciplined approach the institution has taken to build scale in the aviation leasing market.

“Adding a portfolio of this calibre, with established lessees and a strong technology mix, reinforces the resilience and long-term earnings profile we are targeting across our Shari’a-compliant aviation portfolio. Managed through Lesha Aviation Services we expect this portfolio to deliver stable, diversified returns for years to come,” Al Emadi stated.

Avolon’s portfolio management strategy

For Avolon, the sale of the 33-aircraft portfolio demonstrates the lessor’s ongoing strategy of active fleet management and capital recycling. The transaction highlights the depth of institutional capital currently seeking exposure to leased commercial aircraft and the continued global demand for aviation assets.

Andy Cronin, Chief Executive Officer of Avolon, noted that aircraft trading remains a core component of the company’s business model, allowing the lessor to realize value from its assets while partnering with growing financial institutions.

“We are pleased to partner with Lesha Bank on this significant transaction. Aircraft trading is a core part of Avolon’s strategy, enabling us to actively manage our portfolio, realise value and recycle capital. This agreement reflects the continued strength of investor demand for aviation assets and the scale and capabilities of Avolon’s global platform,” Cronin said.

AirPro News analysis

We view this transaction as a clear indicator of the robust appetite among Middle Eastern financial institutions for tangible, yield-generating aviation assets. By structuring the acquisition through a Shari’a-compliant fund, Lesha Bank is tapping into a specific investor base that requires ethical investment frameworks while still demanding the stable returns typically associated with commercial aircraft leasing. The fact that the portfolio is already distributed across 25 global airlines significantly mitigates operator concentration risk for the Lesha Aviation Fund. While the specific aircraft types and financial terms were not disclosed in the initial announcement, the scale of the acquisition cements Lesha Bank’s position as a growing player in the regional aviation finance market and underscores Avolon’s ability to efficiently move large blocks of assets to institutional buyers.

Sources: Lesha Bank

FTAI Aviation Ltd. has acquired 27 Boeing 737-700 aircraft from the WestJet Group in a transaction that splits the fleet between continued airline operations and aftermarket engine support. Announced on September 28, 2026, the deal marks the formal beginning of WestJet’s retirement program for its older-generation narrowbody fleet.

In a press release, FTAI detailed that the acquisition is divided into two distinct segments. Seventeen of the aircraft were acquired through a sale-leaseback arrangement via FTAI’s 2026 special purpose vehicle (SPV). The remaining 10 off-lease airframes will be absorbed into FTAI’s Aerospace Products division to harvest CFM56-7B engines and modules.

Structuring the 27-aircraft transaction

The sale-leaseback portion of the deal utilizes capital from FTAI’s 2026 SPV. This investment vehicle secured a $2.0 billion warehouse financing facility on August 14, 2026. The facility was syndicated among 13 financial institutions to fund the acquisition of on-lease, mid-life Boeing 737NG and Airbus A320ceo aircraft.

The 10 off-lease aircraft will transition out of active service. FTAI President David Moreno stated that these retiring airframes will supply the company’s exchange pool with CFM56-7B engines and modules, supporting the maintenance requirements of FTAI’s global customer base.

Moreno noted that the dual-purpose transaction highlights the interaction between the company’s Strategic Capital and Aerospace Products businesses, offering Airlines a combination of sale-leaseback funding and a flexible exit strategy for aging airframes.

WestJet fleet modernization strategy

For the Calgary-based WestJet Group, the agreement represents a definitive step in its fleet renewal program. The carrier’s move to draw down its 737-700 inventory aligns with broader operational shifts reported in June 2026. Facing high fuel costs, WestJet accelerated the retirement timeline for the older variants, planning to replace them on a largely one-for-one basis with newer, more fuel-efficient Boeing 737 MAX 8 aircraft.

“This 27-aircraft transaction is a strategic milestone that officially marks the start of our retirement of our 737-700 fleet,” said Mike Scott, WestJet Group Executive Vice-President and Chief Financial Officer. “We’re pleased to partner with FTAI Aviation Ltd. to make this happen, and we look forward to building on this relationship for future opportunities.”

AirPro News analysis

We view this transaction as a textbook execution of FTAI’s integrated business model. By acquiring a mixed portfolio of active and retiring aircraft in a single deal, FTAI secures immediate lease revenue while simultaneously feeding its aftermarket engine business. The CFM56-7B remains one of the most widely used Commercial-Aircraft engines globally. Securing a steady supply of modules from retiring 737-700s positions FTAI to capitalize on ongoing supply chain constraints in the maintenance, repair, and overhaul (MRO) sector. For WestJet, offloading 27 older airframes in one transaction simplifies its transition to the Boeing 737 MAX 8 and provides an immediate capital injection through the sale-leaseback of the 17 active units.

Sources: FTAI Aviation Ltd.

Sun PhuQuoc Airways took delivery of its first wide-body aircraft, an Airbus A330-200, at Phu Quoc International Airport (PQC) on September 22, 2026, marking a rapid expansion into twin-aisle operations just ten months after the carrier commenced commercial flights.

The arrival of the aircraft, registered as VN-A969, brings the airline’s total fleet to 21 aircraft. According to a press release issued by parent company Sun Group on September 23, 2026, the delivery initiates a broader strategy to establish Phu Quoc as a global aviation hub ahead of the Asia-Pacific Economic Cooperation (APEC) summit in 2027.

Fleet expansion and aircraft specifications

The newly delivered Airbus A330-200 (msn 1415) is 13.4 years old and was previously operated by US Airways and American Airlines before being retired in 2020, according to fleet data from ch-aviation. The aircraft is configured to accommodate 247 passengers, featuring 20 Business class seats, 21 Premium Economy seats, and 206 Economy class seats.

Sun PhuQuoc Airways plans to induct a total of eight Airbus A330 aircraft between September 2026 and April 2027. The carrier projects its A330 fleet will grow to 15 airframes by 2030. This wide-body growth follows the September 21, 2026, delivery of the airline’s 20th aircraft, an Airbus A321LR. The operator is targeting a total fleet size of 33 aircraft by the end of 2026 and holds commitments for up to 40 Boeing 787-9 Dreamliners, including 20 firm orders, to support future long-haul routes.

Scheduled passenger operations for the A330-200 are slated to begin on October 25, 2026. AeroRoutes reports the aircraft will initially be deployed on the domestic route between Hanoi and Phu Quoc for the Northern winter 2026/27 season.

Maintenance agreements and infrastructure investment

To support the introduction of the twin-aisle fleet, Sun PhuQuoc Airways secured a six-year Power-by-the-Hour (PBH) agreement with AJW Group. The contract, detailed by Aviation Week on September 23, 2026, extends an existing component support arrangement that covers the airline’s Airbus A320 family aircraft.

“Supporting the introduction of a new widebody fleet requires careful planning, reliable logistics, and strong technical expertise, and we are proud to bring all three to this programme,” said Scott Symington, Chief Commercial Officer at AJW Group.

Pham Dang Thanh, Deputy Chief Executive of Sun PhuQuoc Airways, noted that securing a technical partner was critical to ensuring reliable component support and providing the confidence needed to expand the airline’s international network.

Concurrently, Sun Group is investing 500 billion VND to upgrade Terminal 1 at Phu Quoc International Airport. The infrastructure project aims to increase the terminal’s annual capacity to 9 million passengers, supporting the airline’s hub-and-spoke operational model.

AirPro News analysis

The pace of Sun PhuQuoc Airways’ expansion is highly unusual for a startup carrier. Transitioning to wide-body operations less than a year after launching commercial flights introduces significant operational and regulatory complexity. We view the aggressive fleet acquisition strategy, particularly the rapid induction of eight Airbus A330s by April 2027, as a high-stakes maneuver heavily dependent on the successful execution of Sun Group’s broader tourism and infrastructure investments in Phu Quoc.

Relying on mid-life, previous-generation wide-body aircraft like the 13.4-year-old A330-200 allows the airline to minimize initial capital expenditure compared to acquiring new airframes. However, this strategy places a premium on maintenance reliability, making the comprehensive PBH agreement with AJW Group a necessary safeguard against operational disruptions as the carrier scales its network.

Sources: Sun Group