London City Airport

10 Nov 1999



Simmons & Simmons acts for London City Airport on first securitisation of airport revenues in Europe

A ground breaking transaction for London City Airport ("LCA") recently completed, raising £100 million for LCA - this is the first securitisation of an airport's revenues in Europe. £100 million 7.886% Secured Notes Due 2021 of City Aviation Finance Limited, LCA's holding company, have been placed with institutional investors. The Notes were placed by Morgan Stanley Dean Witter as lead manager and have been listed on the London Stock Exchange. Simmons & Simmons acted for LCA.

Earlier this year, Simmons & Simmons advised British Land on the £1.54 billion issue of debt supported by cashflows from the Broadgate Estate, which is the largest ever UK property securitisation to date. Simmons & Simmons has advised on securitisations worth over £3 billion over the last two years, including acting for Principal Healthcare Finance Limited on its second securitisation of care home leases valued at £122 million in March 1999.

LCA has become one of the fastest growing airports in Europe. Passenger throughput has increased from 0.6 million in 1995 to 1.3 million in 1998 - representing a compound annual growth rate of 32.6%. The airport is currently the 7th largest in the UK for scheduled European routes with 11 airlines servicing 23 destinations.

The Simmons & Simmons team was led by partner James Bresslaw and included Michele Connell and Tim O'Dell (Banking/Capital Markets), and partner David Thompson and Carol Shaw (Property).

Morgan Stanley Dean Witter's legal advisers were Allen & Overy.


Notes for editors:

1. Simmons & Simmons is worldclass law firm with offices in London, Paris, Brussels, Düsseldorf, Lisbon, Milan, Rome, Madrid, Abu Dhabi, Hong Kong, Shanghai and New York with over 1,400 staff worldwide. For further information on Simmons & Simmons please visit our website at

2. The Banking and Capital Markets Department at Simmons & Simmons comprises 8 partners plus over 50 lawyers in London. It advises on capital markets, securitisation, structured financing, corporate treasury, corporate trustee and banking work in the UK and overseas.