Monocle Acquisition Corporation Enters into A Commitment Letter with Veritas Capital Credit Funding, L.P
January 28, 2020 at 03:39 am IST
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Monocle Acquisition Corporation (“Monocle”) and Monocle Holdings Inc. (“NewCo”) entered into a commitment letter, dated as of January 26, 2020 (the “FILO Commitment Letter”) with Veritas Capital Credit Funding, L.P. (“Veritas”), pursuant to which, and subject to the terms and conditions set therein, Veritas has committed to provide Monocle a senior secured asset-based “first-in/last-out” term loan with an aggregate commitment of up to $75 million (“FILO Facility”). Monocle intends to use the net proceeds of the FILO Facility to finance a portion of the cash consideration payable in the Business Combination. The funding of the FILO Facility under the FILO Commitment Letter is contingent upon the satisfaction of customary conditions. The FILO Facility will mature on (a) the fourth (4th) anniversary of the closing date (the “Closing Date”) of Monocle’s pending business combination with AerSale Corp. (the “Business Combination”), or (b) if the scheduled maturity date of the asset-based revolving credit facility (the “ABL Facility”) provided pursuant to that certain $150 million Senior Secured Credit Facility Commitment Letter, dated as of December 8, 2019, by and among Monocle and NewCo, and Wells Fargo Bank, N.A. and PNC Bank, National Association as the commitment parties thereunder, is extended to after the fourth (4th) anniversary of the Closing Date, the earlier of (i) the scheduled maturity date of the ABL Facility and (ii) the fifth (5th) anniversary of the Closing Date.
AerSale Corporation is a provider of aftermarket commercial aircraft and engines (flight equipment) and their parts to airlines, leasing companies, manufacturers of original equipment, government and defense contractors, and repair and overhaul service providers. The Companyâs segments include Asset Management Solutions and Technical Operations (TechOps). Asset Management Solutions segment comprised of activities that extract value from strategic asset acquisitions either as whole assets or by disassembling for used serviceable material (USM). Its TechOps segment provides internal and third-party aviation services, including internally developed engineered solutions, full heavy aircraft maintenance and modification, component maintenance, repair, and overhaul (MRO), as well as end-of-life disassembly services. The TechOps segment also includes MRO services for landing gear, thrust reversers, hydraulic systems, and other aircraft components.
AERSALE CORPORATION 
