Dubai Aerospace Enterprise's Dh55 billion investment
Dubai Aerospace Enterprise (DAE), Dubai's Dh55 billion investment vehicle for the aviation industry, has completed its acquisition of US-based Standard Aero and Landmark Aviation for Dh7 billion ($1.9 billion) after a four-month review, the company said on Thursday.
DAE, owned by the Dubai Government, purchased the aircraft maintenance, repair and overhaul firms from the Carlyle Group, a US private equity firm.
Robert Mionis, chief executive of DAE's manufacturing and engineering divisions, said the company would merge the companies as a business enterprise within its engineering subsidiary over the next nine to 12 months.
The acquisition comes in less than a year after the acquisition of Doncaster by Dubai International Capital, Dubai Government's private equity investment arm.
Mionis hailed the acquisitions as the first major investment for DAE engineering, one of six divisions under the DAE umbrella. He said the two firms provided DAE with multi-billion dollar franchises, asset management teams and highly skilled workforce.
"These are two great companies with very diversified and well-balanced portfolios," he said.
The new DAE properties will help it tap into the growing business of maintaining business jets. According to the US Federal Aviation Administration, the active business jet fleet will grow from 9,025 aircraft in 2006 to 16,430 in 2016, a 6.2 per cent increase per year.
Flight hours, which drive the demand for repair services, are also expected to increase from 3.24 million in 2006 to 9.04 million in 2016, or 10.8 annually, according to the General Aviation Manufacturer's Association.
"Its been a long, long, process but one that has been worth the wait," Mionis told Gulf News. He said American authorities conducted a very thorough review of the deal while DAE was equally committed to full cooperation and transparency.
NEW FACILITY Dubai firm's arm to be headquartered in US
Dubai Aerospace Enterprise will headquarter its new engineering division in the United States at its new facilities acquired during its purchase of Landmark Aviation.
DAE Engineering will be will be located in Tempe, Arizona.
This is the first DAE division identified as being headquartered outside of the UAE. DAE, with subsidiaries spanning aircraft leasing, maintenance, services, manufacturing and operations, is owned by the Dubai Government.
"The majority of our facilities are in US, so it makes sense for our management to be close to the facilities," said DAE Engineering's chief executive, Robert Mionis.
The unit's business development and strategy team, meanwhile, will be based in Dubai. Source
DAE, owned by the Dubai Government, purchased the aircraft maintenance, repair and overhaul firms from the Carlyle Group, a US private equity firm.
Robert Mionis, chief executive of DAE's manufacturing and engineering divisions, said the company would merge the companies as a business enterprise within its engineering subsidiary over the next nine to 12 months.
The acquisition comes in less than a year after the acquisition of Doncaster by Dubai International Capital, Dubai Government's private equity investment arm.
Mionis hailed the acquisitions as the first major investment for DAE engineering, one of six divisions under the DAE umbrella. He said the two firms provided DAE with multi-billion dollar franchises, asset management teams and highly skilled workforce.
"These are two great companies with very diversified and well-balanced portfolios," he said.
The new DAE properties will help it tap into the growing business of maintaining business jets. According to the US Federal Aviation Administration, the active business jet fleet will grow from 9,025 aircraft in 2006 to 16,430 in 2016, a 6.2 per cent increase per year.
Flight hours, which drive the demand for repair services, are also expected to increase from 3.24 million in 2006 to 9.04 million in 2016, or 10.8 annually, according to the General Aviation Manufacturer's Association.
"Its been a long, long, process but one that has been worth the wait," Mionis told Gulf News. He said American authorities conducted a very thorough review of the deal while DAE was equally committed to full cooperation and transparency.
NEW FACILITY Dubai firm's arm to be headquartered in US
Dubai Aerospace Enterprise will headquarter its new engineering division in the United States at its new facilities acquired during its purchase of Landmark Aviation.
DAE Engineering will be will be located in Tempe, Arizona.
This is the first DAE division identified as being headquartered outside of the UAE. DAE, with subsidiaries spanning aircraft leasing, maintenance, services, manufacturing and operations, is owned by the Dubai Government.
"The majority of our facilities are in US, so it makes sense for our management to be close to the facilities," said DAE Engineering's chief executive, Robert Mionis.
The unit's business development and strategy team, meanwhile, will be based in Dubai. Source
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