Aircraft lessor Avolon Holdings Ltd. has agreed to be bought by Bohai Leasing, a unit of China's HNA Group, in a deal valued at $7.6 billion, following months of negotiations.

Bohai Leasing will pay $31 in cash for each share, an 8% premium from Thursday's closing price. The deal is expected to close in the first quarter.

Avolon, launched in May 2010 with private-equity backing, went public in December for $20 a share.

In July, Bohai had agreed to pay $429 million, or $26 a share, for a 20% stake in the Dublin-based company. It raised its offer last month to $32 a share after another bidder emerged.

On Thursday, Avolon said the price of $31 a share "reflects significant volatility across global equity markets."

Private-equity-controlled Avolon is one of the world's top aircraft lessors by fleet value, with an owned and managed fleet of more than 140 jets and commitments for more than 100 planes, many acquired directly from airlines and then rented back to carriers.

HNA has extensive aviation interests, including Hainan Airlines and Hong Kong Airlines.

Avolon shares, up 45% this year, rose 1.1% to $29 in late trading.

Doug Cameron contributed to this article.

Write to Maria Armental at maria.armental@wsj.com

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(END) Dow Jones Newswires

September 03, 2015 19:55 ET (23:55 GMT)