DAE looks at different options for building orderbook | News | Airfinance Journal

DAE looks at different options for building orderbook

Dubai Aerospace Entreprise (DAE) says discussions with OEMs will take longer than originally anticipated and that the operating lessor could grow via another platform with an orderbook.

Chief executive officer Firoz Tarapore says the rationale behind a potential order is that DAE is the only large type of lessors that does not have a “meaningful” orderbook.

As at 31 December 2017, the lessor had an orderbook for 23 aircraft from Airbus and ATR, of which 20 are due to deliver this year.

“Discussions are underway,” says Tarapore but he admits that the current market environment of challenging lease rates combined with escalation prices pose a significant challenge.

“Discussions will take longer than originally contemplated,” he adds.

One avenue to get access to an OEM orderbook could be the acquisition of another platform.

DAE acquired AWAS last August and the integration of the Irish platform was completed in February.

“We have to make sure that the two companies work perfectly well before we do another acquisition,” he says, adding “this makes more sense at end of this year or next year.”

Tarapore says should DAE start looking at another platform at the end of this year, it is likely to be a “2019 event”.

Transaction SnapshotDubai Aerospace Enterprise | Company acquisition | 04-17 | AWAS

Financial Close:
18/08/2017
Full Details

Most Popular

Related Data