Qatar Airways Group signs first Japanese JOLCO financing with HSBC, JP Lease

Qatar Airways Group has signed its first Japanese Operating Lease with Call Option (JOLCO) transaction, covering three Boeing 787-9 Dreamliner aircraft, in what is the airline's debut financing in Japan.

HSBC acted as debt arranger and sole lender, while JP Lease Products & Services Co., Ltd. (JLPS) underwrote and arranged the JOLCO equity. The signing is the first of three transactions planned under the Group's inaugural JOLCO programme in Japan, which will support a total of seven aircraft. JLPS is serving as equity arranger across the programme.

According to the announcement from Doha, the deal establishes the Group's presence in the Japanese aircraft financing market and strengthens its financial partnerships across Asia. It also shows confidence in the airline from a highly selective investor community that supports top-tier airline credits, and demonstrates the Group's ability to attract diversified sources of international capital.

Qatar Airways Group Chief Executive Officer Hamad Al-Khater said: "We view the JOLCO market as a strategic long-term funding source and expect to maintain a consistent presence as we finance future fleet investments and growth opportunities." He added that the transaction provides "an important foothold in the Japanese financing market, offering access to a deep pool of capital on extremely attractive financial terms," diversifying funding sources and broadening the investor base.

JLPS President and Chief Executive Officer Teiji Ishikawa said: "Japanese investors look first at the credit of the airline. Qatar Airways is a strong credit, and investors in Japan welcome this transaction." He said JLPS does not see this as a single transaction but as "the start of a long-term programme," and that it will continue to support Qatar Airways in the Japanese market for many years.

HSBC Qatar Chief Executive Officer Abdul Hakeem Mostafawi said HSBC was pleased to support the inaugural JOLCO, building on its longstanding strategic partnership with the Group. He said HSBC's role as debt arranger and sole lender demonstrates its sector expertise and its ability to deliver tailored solutions that support fleet expansion, diversify funding sources and connect leading airlines with global capital.

As Qatar Airways Group continues to expand its fleet and network, it remains focused on diversifying its funding sources and building long-term relationships with financial institutions and investors in Japan and beyond.