Dubai Aerospace Enterprise buys 23 aircraft for $1.1 billion
Dubai Aerospace Enterprise says new aircraft are relatively new and come pre-leased
Dubai: UAE aviation companies are in aircraft acquisition mood. Just days after Emirates airline signed a deal for some more, Dubai Aerospace Enterprise (DAE) confirmed it has signed agreements to buy as many as 23 aircraft from 'multiple counterparties' for a combined $1.1 billion.
The latest aircraft portfolio has a weighted average age of 3.4 years, as well as a weighted average lease term remaining of 8.8 years. These are on lease to 13 airlines in nine countries.
The new deals will close before close of this year. (DAE's current fleet value is over $18 billion.)
The new purchases are made up of 91 per cent narrow-body aircraft in value terms, and 86 per cent are 'next-generation technology aircraft'.
Firoz Tarapore, CEO of DAE, said: “We are delighted to add this young portfolio of aircraft assets with a long remaining lease term to our fleet.
"As part of these transactions, we welcome six new airline customers to our globally diverse customer base. Following the induction of these aircraft, our next generation fuel efficient fleet composition is expected to improve by nominally four percentage points on a pro-forma basis.”