Dubai-based plane lessor DAE to sell 75 aircraft in strategic portfolio realignment

Dubai: Dubai-based plane lessor Dubai Aerospace Enterprise (DAE) Ltd has announced agreements to sell approximately 75 aircraft to two counterparties as part of a strategic realignment of its portfolio. The transactions, the financial terms of which were not disclosed, are expected to be completed before the end of 2025, subject to regulatory approvals.

The portfolio includes around 50 Embraer E-JETS, which will be sold to a specialist lessor. Additionally, approximately 25 out-of-production aircraft are set to be acquired by a financial investor. DAE continues to provide lease, asset, and technical management services for these aircraft.

According to DAE, these sales will result in a younger passenger fleet with a longer average remaining lease term. After completing these transactions, DAE anticipates its fleet composition to be 45 per cent Boeing aircraft, 42 per cent Airbus, and 13 per cent ATR aircraft.

Firoz Tarapore, Chief Executive Officer of DAE, stated that these transactions align with the company's objectives to optimize its portfolio with targeted aircraft types.

He said, "Consistent with ongoing commitments to our stakeholders, these transactions will achieve multiple objectives by aligning our portfolio composition with our stated target aircraft types and enhancing the overall fuel efficiency, age profile and remaining lease term characteristics of the portfolio."

This announcement comes on the heels of DAE's report on its financial results for the first three months of 2025. In the first quarter, DAE acquired 19 aircraft (13 owned and six managed) and sold 15 (11 owned and four managed). The company also signed 61 lease agreements, extensions, and amendments. DAE reported a pre-tax profit margin exceeding 25 per cent and a return on equity of 13 per cent during this period.

DAE also signed a significant agreement last month to acquire Nordic Aviation Capital DAC (NAC) for an enterprise value of $2 billion. Upon completion, this acquisition is expected to add approximately 200 owned aircraft and 25 aircraft on order from Airbus and ATR to DAE's fleet. Furthermore, DAE entered agreements to acquire 17 fuel-efficient, next-generation aircraft for $1.0 billion.