Dubai Aerospace Enterprise Ltd. (DAE), the aircraft leasing and maintenance firm run by the Dubai government, has fully repaid a $705-million bank loan facility provided by a group of financial institutions from the Middle East and Germany.
The payment was made from proceeds that came from the sale of StandardAero, an Arizona-based firm specializing in engine maintenance, repair, overhaul, airframe, interior refurbishments and paint for both commercial and military aircraft.
DAE obtained StandardAero in 2007 from the Carlyle Group, and the sale paid off loans from Barwa Bank, Deutsche Bank, Emirates NBD Bank and Noor Bank.
DAE Managing Director Khalifa H. Al Daboos said the sale keeps the company strong with good working relationships with global partners.
“We had committed to repay the full principal amount in 2015 and we were able to deliver on our commitment,” Al Daboos said. “This reinforces our credibility with banks and further strengthens our ability to quickly finance large transactions with the assistance of our partner banks.”
DAE CEO Firoz Tarapore said the sale strengthens DAE’s balance sheet. That allowed the company to not only pay off the loan but also to use the added revenue left over afterward.
“Today, DAE is one of the most strongly capitalized aircraft leasing companies in the world,” Tarapore said. “This balance sheet strength enhances our ability to provide large, custom-tailored leasing solutions to our airline clients on a global basis.”
