DAE profit jumps after sale of StandardAero
Dubai Aerospace Enterprise recorded a huge jump in profit last year, after the sale of its Arizona-based aviation services unit, StandardAero.
Net income for last year jumped to Dh2.24 billion from Dh586 million a year earlier as revenues remained flat at Dh1.49bn from Dh1.43bn. The 2014 numbers have been restated to exclude StandardAero, the company said.
In a strategic push to focus on its aircraft leasing business, DAE sold the engineering services provider StandardAero, which it bought from the Carlyle Group in 2007, to the private equity firm Veritas Capital in July.
While DAE did not disclose the value of the sale, Reuters estimates the transaction at about US$1.8bn.
Khalifa Al Daboos, the managing director, said that its DAE Capital unit “has firm commitments to acquire 23 additional aircraft”.
Its customers include Emirates and easyJet. It currently has an aircraft leasing portfolio of 72 aircraft worth about $4bn.
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Published: April 4, 2016 04:00 AM