FTAI Aviation announced on September 28 that it has acquired 27 Boeing 737-700 aircraft from Canadian carrier WestJet. The transaction marks the start of the airline's retirement of its 737-700 fleet.
The deal splits into two parts. FTAI is acquiring 17 of the aircraft through its 2026 special purpose vehicle under a sale-and-leaseback arrangement, a structure in which the seller leases the aircraft back. The remaining 10 aircraft are off-lease and go to FTAI's Aerospace Products business.
The 737-700 is powered by CFM56-7B engines. FTAI plans to source CFM56-7B engines and modules from the 10 off-lease aircraft for its maintenance, repair and exchange services. Used serviceable material from retiring aircraft supplies shops with engine parts and modules that would otherwise require new manufacture, and it is a common feedstock for engine overhaul programs.
David Moreno, president of FTAI, said the company is pleased to expand its relationship with WestJet through the transaction. Mike Scott, WestJet's executive vice-president and chief financial officer, said the airline is pleased to partner with FTAI Aviation to make it happen.
McGuireWoods represented FTAI in the transaction, and Borden Ladner Gervais represented WestJet.
The purchase follows a run of aftermarket deals in the sector this week, including AAR's agreement to acquire a controlling stake in MRO Holdings. FTAI Aviation operates a leasing business and an aerospace products segment that supports engine maintenance and parts supply, and the WestJet aircraft add to the supply of engines available for that work as the 737-700 generation leaves airline service.
Source: AviTrader - https://avitrader.com/2026/09/28/ftai-buys-27-boeing-737-700s-from-westjet/