Dubai Aerospace Enterprise raises $2.8bn in new funding

Dubai Aerospace Enterprise (DAE) has secured $2.8 billion of new long-term, unsecured revolving credit facilities, strengthening its liquidity position and extending its funding maturities to March 2031. The new facilities replace a previous $1.4 billion arrangement and, together with existing facilities, increase DAE’s total revolving credit capacity to approximately $4 billion. The financing package comprises $2.3 billion of conventional facilities and $0.5 billion of Shari’a‑compliant Islamic financing provided by a syndicate of 15 global financial institutions.

“We are delighted to announce these new facilities, which further bolster DAE’s liquidity strength. By tapping both conventional and Shari’a-compliant sources of funding, this transaction underscores DAE’s exceptional access to liquidity from both our local banking partners and a globally diversified group of leading financial institutions.” — Firoz Tarapore, chief executive officer, Dubai Aerospace Enterprise.

Context and deal details

The $2.8 billion package is structured as unsecured revolving credit facilities maturing in March 2031, replacing the $1.4 billion facility DAE had in place. The mix of conventional and Islamic financing reflects the company’s strategy to diversify funding sources and deepen relationships across regional and international banks. Emirates NBD and First Abu Dhabi Bank acted as Initial Mandated Lead Arrangers, Bookrunners and Coordinators on the conventional tranche, while Abu Dhabi Islamic Bank served as Mandated Lead Arranger for the Shari’a‑compliant portion.

• Total new facilities: $2.8 billion (unsecured, revolving)
• Conventional tranche: $2.3 billion
• Shari’a‑compliant (Islamic) tranche: $0.5 billion
• Maturity: March 2031
• Syndicate size: 15 global financial institutions
• Post-transaction revolving capacity: ~ $4 billion

DAE said the transaction was backed by a broad range of banking partners, combining regional lenders with international institutions to secure long-term liquidity. The structure and tenor — unsecured facilities maturing in 2031 — indicate a focus on extending the company’s funding profile while maintaining flexibility through revolving facilities. The involvement of both conventional and Islamic lenders underlines the importance of dual funding channels in the Gulf aviation finance market.

Outlook

The financing is positioned to support DAE’s ongoing fleet growth and long-term financing needs in the global aviation sector. By lifting overall revolving capacity to roughly $4 billion, DAE aims to preserve near-term liquidity and provide headroom for aircraft acquisitions, lease financings and portfolio management. With key regional banks such as Emirates NBD, First Abu Dhabi Bank and Abu Dhabi Islamic Bank leading the transaction, DAE has signalled continued access to diversified capital as aviation markets navigate post‑pandemic recovery and ongoing geopolitical volatility.