Dubai Aerospace Enterprise (DAE) announced today that it has signed agreements with multiple counterparties to acquire 17 aircraft for an estimated total of around $1 billion. This new portfolio is entirely composed of next-generation aircraft, with 89 percent categorized as narrow-body aircraft.

Firoz Tarapore, the CEO of DAE, expressed satisfaction with the acquisition, stating that it aligns with their commitment to enhance the next-generation content of their fleet and reduce its average age. He mentioned that the transaction would strengthen their relationships with airline customers, welcoming back three specific airline partners to DAE.

Of the 17 aircraft acquired, 80 percent are manufactured by Airbus and 20 percent by Boeing. These aircraft are currently leased to 11 airlines operating in 10 different countries. Once the acquisition is finalized, it is anticipated that DAE’s weighted average passenger fleet age will decrease to 6.9 years, while the weighted average remaining lease term will increase to 6.6 years. Following this deal, DAE’s pro-forma fleet composition is set to consist of 46 percent Airbus aircraft, 49 percent Boeing aircraft, and 5 percent ATR 72-600.

In light of ongoing delivery delays affecting their order book, Tarapore noted that DAE continues to seek attractive assets in the secondary market to fulfill its growth and portfolio management objectives.

DAE’s fleet is valued at approximately $20 billion and serves more than 170 airline customers across over 65 countries from its seven office locations. The company has established itself as a prominent aircraft lessor, managing a fleet that includes about 500 Airbus, ATR, and Boeing aircraft. Just last month, DAE marked a significant achievement by delivering a Boeing 737-800 aircraft to Kenya Airways, further solidifying their long-term partnership.