Dubai aviation in 2025: DAE seals $2bn acquisition and enters top five global lessors
Engineering operations record higher capacity and international demand
DUBAI – The Dubai Aerospace Enterprise (DAE) Ltd reported a landmark year in 2025, marked by major acquisitions, rapid fleet expansion and strengthened financing activity, reinforcing Dubai’s role as a global aviation hub.
The aviation services company released its full-year business and operational highlights, detailing significant progress across its capital, engineering and group operations.
The year was defined by scale and execution, with DAE completing one of the largest aircraft leasing transactions in recent years and expanding its presence across multiple continents. The company said the developments further strengthened its position among the world’s leading aviation services providers.
Fleet expansion
DAE Capital signed and closed the $2.0 billion acquisition of Nordic Aviation Capital during the year, significantly expanding its aircraft portfolio. As part of its investment activity, the company acquired a total of 280 aircraft, including 261 owned and 19 managed assets, while divesting 112 aircraft across owned and managed portfolios.
Leasing activity remained robust throughout 2025. DAE signed 273 lease agreements, extensions and amendments, covering 227 owned and 46 managed aircraft. These transactions reflected sustained demand from airlines seeking modern and fuel-efficient fleets amid ongoing capacity constraints.
The company also completed a long-term sale and leaseback transaction with United Airlines involving 10 Boeing 737-9 aircraft. In addition, DAE placed 10 Boeing 737-8 aircraft on long-term lease with AJet, expanding relationships with major international carriers.
DAE further strengthened its asset management platform by pricing a $610 million two-tranche aircraft asset-backed securities transaction for a DAE-managed asset client, highlighting continued investor appetite for aviation-backed instruments.
Engineering growth
DAE Engineering recorded another year of high operational throughput, supporting airlines across multiple regions. During 2025, the division booked more than 1.8 million man hours and carried out over 320 aircraft checks, reflecting strong demand for maintenance, repair and overhaul services.
The engineering arm served more than 60 airline customers from over 30 countries, spanning five continents. Capacity expansion remained a priority, with DAE inaugurating a new five-bay hangar during the year. The additional facility increased overall capacity by 30 percent, enabling the company to accommodate higher volumes and a broader mix of aircraft types.
Financing activity
At group level, DAE raised $3.9 billion in debt financing during 2025, achieving a weighted average maturity of 5.3 years. The company also accessed the sukuk market, issuing a $650 million five-year benchmark transaction, reinforcing Dubai’s role in global Islamic finance.
Credit momentum improved during the year, with KBRA placing DAE on a Positive Outlook, reflecting strengthened fundamentals, diversified earnings and expanded scale.
Commenting on the results, chief executive officer Firoz Tarapore said 2025 represented a defining year for the company. He noted that DAE Capital ended the year with 35 percent fleet growth and ranked among the top five global aircraft lessors by fleet count, while DAE Engineering continued to lead the regional independent airframe MRO market.