Planning to buy a plane? ICICI will lend

A neighbourhood bank that used to finance your home may finance your aircraft soon. ICICI Bank, the largest private sector bank in the country, is about to tie up with a Kolkata-based firm that has inaugurated the era of cheap aircraft in this part of the country.

Next week, ICICI Bank will tie-up with Aerotech Aerospace Services in what appears to be the first financing services for a nascent market in India. Ekta Kathotia, solutions manager, Travel & Tourism Cluster of ICICI Bank, has confirmed the tie-up and described it as a unique service.

In fact, this tie-up may spawn an EMI culture in the small aircraft market. Explaining the service they would offer, Kathotia said, “We foresee a very big opportunity in the small aircraft market in which Aerotech Aerospace Services is operating.”

Once the tie-up is through, Aerotech Aerospace Services will offer financing from ICICI Bank along with the aircraft to make the deal alluring to prospective customers. Both term loans and working capital loans would be on offer.

Last Sunday HT had reported the plans of this Kolkata-based firm to offer second-hand four-seater aircraft (Cessna 172) for as low as Rs 40 lakh.