KKR is investing an additional $1.4bn (€1.2bn) to grow its global portfolio of leased commercial aircraft through its partnership with commercial aviation leasing and financing firm Altavair.
The global investment firm’s commitment, made on behalf of KKR’s infrastructure and asset-based finance strategies, builds on two previous aircraft leasing portfolios established in partnership with Altavair.
The pair’s relationship dates back to 2018 when KKR first acquired a stake in Altavair, followed by a $1.15bn investment through the partnership in 2023. Most recently, KKR increased its ownership stake in both Altavair and sister firm AV AirFinance in January this year.
Brandon Freiman, partner and head of North American infrastructure at KKR, said: “Nearly a decade of strategic partnership with Altavair has deepened our conviction in the attractiveness of aircraft leasing, which we believe is poised to grow even further as demand for air travel continues to rise and airlines seek more liquidity and fleet flexibility.”
Daniel Pietrzak, partner and global head of private credit at KKR, said: “We are pleased to deepen our long-standing relationship with Altavair and strengthen our commitment to the aviation sector through our asset-based finance strategy.
“The success of our strategic partnership is a testament to the power of combining our patient, long-term capital with Altavair’s deep industry expertise and differentiated sourcing capabilities.”
Steve Rimmer, CEO of Altavair, said: “Our strategic partnership with KKR has grown stronger over the past eight years, and this latest commitment reflects the trust we have built together.
“KKR’s expertise, and long-term capital have helped build Altavair into the platform it is today. As airlines face significant fleet funding needs in the coming years, this expanded commitment positions us to be an even stronger partner and supporter across the aviation ecosystem.”
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