KKR, a major private equity giant, along with Altavair, is splashing out $1.4 billion to increase its foothold in the aircraft leasing market.

Zhitong Finance APP learned that private equity giant KKR (KKR.US) announced on Wednesday that it has jointly invested $1.4 billion with partner Altavair, further betting on the aircraft leasing market. Due to the long-term aircraft supply shortage faced by Airbus and Boeing, the new aircraft supply remains tight, driving strong demand in the leasing market. With airlines facing greater financial pressures against the backdrop of limited aircraft supply, rising operating costs, and recovering travel demand, aircraft leasing companies and private equity firms are increasingly taking on important roles in providing financing for aircraft purchases.