Follows $750m funding last year
DAE leases 750 planes
Aircraft leasing company Dubai Aerospace Enterprise (DAE) has secured a $300 million loan from the Bank of China.
The money will be used for general corporate purposes and support upcoming financing requirements, the company said in a statement on Monday.
The three-year unsecured term loan was issued by the lender’s Dubai, London and Hong Kong branches.
“This transaction provides us with additional liquidity to support the ongoing needs of our airline customers, while maintaining a modern and efficient fleet,” said Firoz Tarapore, CEO of DAE.
Pan Xinyuan, general manager of Bank of China (Dubai) Branch, said it will continue to contribute to the deepening of China-UAE relations and support the development of UAE enterprises.
In April 2024, Dubai Aerospace secured AED2.75 billion ($750 million) in funding from Dubai-listed Emirates NBD to meet general corporate needs and financing requirements.
Last week DAE agreed to sell 75 aircraft to two unnamed buyers as part of its plan to realign its fleet.
In March, the company acquired 17 aircraft for $1 billion from multiple sellers.
DAE serves more than 200 airline customers in over 85 countries from its eight office locations. Its fleet of 750 Airbus, ATR, Embraer and Boeing aircraft fleet is valued at $22 billion.
Willie Walsh, director general of the International Air Transport Association industry trade body, told AGBI in April he believed aircraft leasing companies in the region are profiting from prolonged delivery delays at aircraft makers Boeing and Airbus.
“They’re doing deals with tier one airlines because they need the capacity but can’t get new aircraft,” Walsh said.
