Avolon and Wells Fargo & Company are to form a new aircraft leasing business, Avolon Capital Partners (ACP), as a JV. Since its inception in 2010, Avolon has raised a total of $3.7bn of debt capital from sources including Wells Fargo, which has been a significant lender to Avolon since January 2011. “ACP will build an aircraft fleet primarily through sale and leaseback transactions with airlines on new aircraft. ACP will focus on young, fuel-efficient single-aisle and twin-aisle aircraft with an initial target portfolio size of $500m. Wells Fargo will be the majority shareholder and provide banking and debt financing facilities for the business,” the pair said in a statement. ACP will be headquartered in Dublin and headed by Avolon and Wells Fargo team members. Avolon’s CFO, Andy Cronin, will serve as a director; Daire O’Criodain, an executive at Avolon, will serve as ACP’s MD. “The joint venture is a natural evolution of our relationship and combines their international franchise with the expertise and capability of the Avolon team,” Cronin commented. The creation of ACP is subject to regulatory approvals.