Setna Snaps Up Ex-Spirit Airbus A320neo

Aftermarket parts supplier and MRO provider Setna iO is the latest company to get its hands on an Airbus A320neo airframe previously operated by Spirit Airlines.

The airframe will be torn down by AerSale in Goodyear, Arizona, and the parts will be routed through Setna iO’s internal repair network before being offered to customers as used serviceable material (USM).

“This acquisition marks our first A320neo teardown in the U.S. and another step in our continued investment in the global aerospace aftermarket,” says Tom Boulcott, partner and chief strategy officer at Setna iO. He notes that the USM will feed the company’s growing repair capabilities and enable it to offer “enhanced support for aircraft interiors, seats and other cabin components” for A320neo aircraft through its recently acquired J&C Aero subsidiary.

Aviation Week has reached out to Setna iO about whether the aircraft was Spirit-owned or leased and if it is seeking to acquire any more of the airline’s assets.

Setna has been highly active in aircraft and engine acquisitions over the last year, purchasing a slew of assets, including A320-family and Boeing 737-family narrowbodies, as well as the engines that power them, such as the CFM International CFM56 and International Aero Engines V2500. Notably, the company increased its borrowing capacity to $550 million in April by expanding its commercial credit facility.

Competitive bidding has been happening for Spirit’s owned assets since the airline’s Chapter 11 bankruptcy process last fall. Besides Setna iO, aftermarket parts suppliers such as Killick Aerospace and KP Aviation have publicly announced purchases of ex-Spirit A320neo airframes that will be disassembled for USM. However, engines have proven more difficult to obtain as demand for narrowbody engines surges, driven in part by reliability issues on platforms such as the Pratt & Whitney geared turbofan.

Earlier this month, Spirit Airlines shared more details about a $630 million stalking horse bid for its remaining owned aircraft. The carrier is seeking any other bids by Aug. 27, with a proposed auction date of Sept. 9.