Norton Rose Fulbright advises TAP Air Portugal on landmark JOLCO financing

Global law firm Norton Rose Fulbright has advised TAP Air Portugal on the successful completion of a Japanese Operating Lease with Call Option (JOLCO) facility, marking the airline’s re-entry into the JOLCO market after more than twenty years.

The milestone transaction supports TAP’s ongoing fleet renewal programme, enabling the financing of a new Airbus A321NEO (ACF) through a bespoke cross-currency structure designed to optimise capital efficiency and operational flexibility.

Partner Giles Brand led the Norton Rose Fulbright team advising TAP Air Portugal on the transaction, with support from senior associate Chiranj Shah. MUFG acted as arranger, underwriter, and facility agent on the deal.

Giles said:

“This transaction reflects TAP’s commitment to modernising its fleet and underscores the versatility of JOLCO structures in today’s aviation finance landscape. We are proud to have supported TAP in navigating this sophisticated financing and were able to bring our extensive experience in structuring complex JOLCO arrangements to deliver a solution tailored to TAP’s strategic objectives. We are also grateful for MUFG’s dedication and collaborative efforts in assisting TAP to complete this transaction.”

Norton Rose Fulbright’s global aviation lawyers work with airlines, banks and financiers, lessors, manufacturers, insurers, export credit agencies, governments and regulatory bodies on the full range of aviation legal services. Its award winning aviation finance practice is recognised globally for its innovation and depth of experience - regularly advising on JOLCOs and other advanced leasing structures across jurisdictions - and last year advised Crédit Agricole CIB on Aegean Airlines S.A.’s debut JOLCO financing.