Dubai Aerospace Enterprise secures record $1.6bn credit

Dubai Aerospace Enterprise secures record $1.6bn credit
Dubai Aerospace Enterprise secures record $1.6bn credit

Thank you for reading the news about Aerospace Enterprise secures record $1.6bn credit and now with the details

Jeddah - Yasmine El Tohamy - RIYADH: In a significant step to bolster its financial capabilities, Dubai Aerospace Enterprise has secured a record $1.6 billion credit facility with a consortium of 26 financiers. 

This financing agreement includes a combination of revolving credit and term financing facilities, with each tranche comprising conventional and Islamic financing components. 

HSBC and J.P. Morgan have played a key role in this deal by serving as joint bookrunners and mandated lead arrangers.  

This move reflects the support and confidence that banks have shown in the company and its future growth prospects, according to DAE CEO Firoz Tarapore. 

“We are delighted with the exceptional outcome delivered by the joint bookrunners, who demonstrated strong leadership, sound market judgment and conviction that has enabled DAE to execute successful financing to support our corporate strategy,” said Tarapore. 

The transaction was upsized in syndication to over 100 percent of the predicted initial size with 26 financiers. 

Additionally, the facilities helped the aviation services firm tap the liquidity in Islamic banking and further bolster its relationships in the Middle East, Asia, North America and Europe. 

“HSBC has a long-standing relationship with DAE, and the very robust demand for this landmark transaction from investors across a wide range of geographies, which resulted in a significant increase in its final size, clearly demonstrates how we use the strength of our network on behalf of our clients,” said Shaikha Al-Marri, head of government and corporates in the global banking team at HSBC Middle East. 

Imran Zaidi, J.P. Morgan’s head of corporate banking in the Middle East, North Africa and Pakistan, said: “The transaction was significantly upsized and oversubscribed, underscoring investors’ confidence in DAE’s performance.” 

Last month, DAE signed a definitive agreement to acquire 64 Boeing 737 Max aircraft from a subsidiary of China Aircraft Leasing Group Holdings Ltd. as it seeks to add certainty to its growth trajectory. 

The portfolio includes 737-8, 737-9 and 737-10 variants. Delivery of the aircraft is scheduled to occur between 2023 and 2026.  

In 2017, DAE also became one of the world’s largest aircraft lessors after it completed the acquisition of Dublin-based AWAS, the industry’s tenth-biggest firm at the time. 

These were the details of the news Dubai Aerospace Enterprise secures record $1.6bn credit for this day. We hope that we have succeeded by giving you the full details and information. To follow all our news, you can subscribe to the alerts system or to one of our different systems to provide you with all that is new.

It is also worth noting that the original news has been published and is available at Arab News and the editorial team at AlKhaleej Today has confirmed it and it has been modified, and it may have been completely transferred or quoted from it and you can read and follow this news from its main source.

PREV Saudi government assets to remain strong through 2030: S&P Global 
NEXT Saudi private sector employment reaches 11.27m in April: official data

Author Information

I have been an independent financial adviser for over 11 years in the city and in recent years turned my experience in finance and passion for journalism into a full time role. I perform analysis of Companies and publicize valuable information for shareholder community. Address: 2077 Sharon Lane Mishawaka, IN 46544, USA Phone: (+1) 574-255-1083 Email: [email protected]