Picture credits: Dubai Aerospace Enterprise
Dubai: Dubai Aerospace Enterprise (DAE) has signed agreements to acquire 17 aircraft for approximately $1 billion. The acquisition consists primarily of next-generation aircraft and is part of DAE’s ongoing efforts to expand its leasing portfolio and update its fleet.
Dubai Aerospace Enterprise is a global aviation services company headquartered in Dubai, United Arab Emirates. It is one of the largest aircraft leasing firms in the world, managing a fleet of hundreds of aircraft leased to airlines across multiple regions.
Aircraft Details and Leasing Arrangements
The newly acquired aircraft are predominantly narrow-body models, with 80 percent manufactured by Airbus and 20 percent by Boeing. A total of 89 percent of these aircraft are classified as next-generation, incorporating fuel-efficient technology. These aircraft are currently leased to 11 airlines across 10 countries, contributing to DAE’s global leasing operations.
Fleet Impact and Composition
Following the completion of this acquisition, DAE’s fleet will have a reduced weighted average age of 6.9 years. The weighted average remaining lease term will increase to 6.6 years. The updated fleet composition will consist of approximately 46 percent Airbus aircraft, 49 percent Boeing aircraft, and 5 percent ATR 72-600 aircraft. This adjustment aligns with DAE’s approach to maintaining a younger and more balanced fleet.
Executive Statement
Firoz Tarapore, Chief Executive Officer of DAE, commented on the acquisition, stating that the company remains committed to increasing the next-generation content of its fleet and reducing the average age of its aircraft. He added that this transaction allows DAE to strengthen its relationships with airline customers and welcome three airlines back into its leasing portfolio.
Strategic Expansion in Aircraft Leasing
DAE is one of the major players in the aircraft leasing industry, managing a diverse fleet that serves airlines worldwide. The latest acquisition reinforces its presence in the global leasing market and strengthens its ability to offer modern aircraft to airline customers.
Ongoing Developments
The company has been actively expanding its portfolio through purchases and leasing agreements, adapting to shifts in airline demand for fuel-efficient and modern aircraft. The ongoing investments in next-generation aircraft reflect broader industry trends, where lessors and airlines focus on sustainability and operational efficiency.
DAE continues to evaluate opportunities in aircraft leasing and fleet acquisition. The company remains engaged with airline customers across multiple regions, adapting to changing market conditions and aircraft demand.
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