Dubai Aerospace Enterprise (DAE) Ltd (DAE) has announced the execution of a definitive agreement to acquire 100 percent of the Nordic Aviation Capital group of companies (NAC or Nordic Aviation Capital), a prominent aircraft leasing firm established over three decades ago. The specific terms of the transaction remain undisclosed.
As of September 2024, NAC’s fleet consisted of 252 owned and committed assets leased to around 60 airline customers across approximately 40 countries, Dubai Media Office reported.
On a pro forma basis, DAE Capital’s fleet will encompass about 750 owned, managed, and committed aircraft, boasting a total valuation of roughly $22 billion, leased to around 170 airline clients in approximately 70 countries.
Firoz Tarapore, chief executive officer of DAE, stated, “We are delighted at this opportunity to add NAC’s capabilities, complimentary market presence, and people to our platform. This transaction will allow us to provide more cost-effective solutions to a larger group of customers.”
Read more: DAE signs lease agreements with Hainan Airlines for four new Boeing 737-8 Aircraft
Financial structuring and regulatory approval
The transaction will be adequately capitalized and financed through internal resources and secured debt financing. As a result, DAE’s leverage and funding metrics will remain comfortably within the thresholds consistent with DAE’s credit ratings. The deal is subject to necessary regulatory approvals and the approval of the shareholders of NAC Holdings Limited, with an expected completion in the first half of 2025.
DAE received advisory support from Allen Overy Shearman Sterling LLP and KPMG.
