Plane parts maker Strata looking to break even next year
Strata, the Mubadala-owned facility plane parts maker, aims to break even by the end of next year, a government official said yesterday.
The Al Ain-based company that manufactures parts for Airbus and Boeing is also on the lookout for more acquisitions and expects to win more work to supply parts to the A380 superjumbo.
“Strata should break even by the end of 2015, that’s the goal,” said Homaid Al Shemmari, the chief executive of aerospace and engineering services at Mubadala.
Established in 2010, Strata manufactures Boeing and Airbus aircraft parts. At Dubai’s Airshow in November, the facility won deals with Airbus and Boeing worth US$5 billion to make parts of their aircraft – including Boeing’s proposed 777X.
“By the end of the year, we are going to announce the second phase of Strata,” said Mr Al Shemmari, “based on the discussions that we will have with Boeing and Airbus by the end of this year.”
He added that as Boeing launches the second and third versions of the 787 aircraft, Strata aspires to be “a key player” in terms of the production parts.
He also said that Strata aims to get “a big chunk” of the manufacturing of Airbus’ superjumbo plane – the A380.
Strata is a key part of Abu Dhabi’s 2030 vision which seeks to diversify the economy away from oil.
On the international front, Mubadala said it was looking to acquire a target in the aviation sector, preferably in the United States.
“It makes sense for me with the dollar relationship and our relationship with Boeing,” said Mr Al Shemmari.
“We are evaluating the whole spectrum right now. What are the companies, which ones are matching our requirements and capabilities?” he said.
“I don’t want something that has been there for 60-70 years. I don’t want just a plant. I want something that has capabilities in engineering, research and development and manufacturing.”
The aim is to provide training to its local employees.
The Abu Dhabi strategic investment company is also looking to create 10,000 jobs in the Nibras Al Ain Aerospace Park by 2030.
“That is the target and has always been the target. I am looking for 50 per cent to be UAE nationals, nothing less than that,” said Mr Al Shemmari.
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Published: May 12, 2014 04:00 AM