Dubai Aerospace Enterprise (DAE) has signed a definitive agreement to acquire 100% of Nordic Aviation Capital’s (NAC) shares in a further step of consolidation within the aircraft leasing market. Owning around 750 aircraft While the terms of the transaction were not disclosed, as of September 2024, NAC had 252 owned and committed assets on lease to around 60 airlines in around 40 countries, according to DAE. “On a pro forma basis, DAE Capital’s fleet will comprise of approximately 750 owned, managed and committed aircraft with a total value of approximately US$22 billion on lease to approximately 170 airline customers in approximately 70 countries.
” Firoz Tarapore, the chief executive officer (CEO) of DAE, said that the aircraft lessor was delighted to have this opportunity to add NAC’s capabilities, complementary market presence, and people to its platform. “This transaction will allow us to provide more cost-effective solutions to a larger group of customers.” DAE noted that the transaction would be appropriately capitalized and funded by its internal resources and committed debt financing.
As a result, the lessor’s leverage and funding metrics will remain comfortably within the levels consistent with its credit ratings. The deal, which is still pending regulatory and NAC’s shareholders’ approvals, should be completed within the first six months of the year. NAC had executed a lease agreement on the same day as DAE announced the transaction, with the reg.
