in Lessors & Asset managers , Capital Markets , OEMs, Cargo & Engines
Friday 20 February 2026
Sprite 2026-1 aircraft freighter lease ABS prices
Sprite 2026-1, the converted freighter aircraft lease ABS from World Star Aviation (World Star), has priced, achieving yields of 5.285%, 6.292%, and 9.60% on its A, B, and C tranches respectively.
The resulting spreads are +165bps on the $370 million series A notes and +265 on the $55 million series B notes.
The ABS is being issued from the Oakstar Cargo platform, a JV between World Star and Oaktree Capital Management.
Proceeds from the sale of the notes are to be used to acquire a portfolio of 30 aircraft, including 28 converted freighters and two narrowbodies. The portfolio has a weighted average age of around 22.3 years and a weighted average remaining initial lease term of 5.4 years. The weighted average ‘age’ of the freighter aircraft post-conversion is 3.5 years.
Bloomberg indicates that up to 49% of the transaction E note may be sold.
World Star Aviation is servicer. Mizuho Securities USA is sole structuring agent and left lead bookrunner.
UMB Bank is security trustee, while MUFG is the liquidity facility provider. Vistra Financial Services is managing agent.
For more information on the transaction, see Ishka’s previous report.
At 165bps, the Sprite 2026-1 A note spread is slightly wider than on other recent aircraft lease ABS transactions.
The Ishka View
As a majority-freighter ABS deal, Sprite 2026-1 is an unusual transaction, and so comparison in terms of pricing is less straightforward than for other recent issuances. The nature of converted freighters means a high average asset age in the portfolio and higher note leverage when considering LTVs in the usual way for lease ABS. Nevertheless, a spread of 165bps on the A note still represents good pricing and is comparable to much of last year’s passenger ABS issuances.
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