Itasca MGA Ltd, the aviation-focused managing general agent, has announced that it has structured an innovative aircraft non-payment credit insurance policy.

The company was created by alternative investment manager Castlelake and Pine Walk Capital, a wholly owned subsidiary of Bermudian-based The Fidelis Partnership.

Itasca said the solution provides wrapped debt financing with respect to operating leases arranged by JLPS Ireland Ltd for three 2023-built Airbus A321-271NX aircraft on lease with an ultra-low-cost airline.

The debt was provided by Commonwealth Bank of Australia, Tokyo branch.

Gareth John, chief executive of Itasca MGA, said: “Itasca MGA is pleased to add JLPS and Commonwealth Bank of Australia to our client base. The transaction marks the first deal for Itasca supported by Lloyd’s of London insurance capacity and Lloyd’s Japan as the cover holder.”

Two aircraft were delivered in October and the third one in November.