DAE completes a second United sale-and-leaseback, and Egypt and Russia move on their Sokhna industrial zone

Repeat flyer

Dubai Aerospace Enterprise (DAE) has completed a second 10-aircraft sale-and-leaseback with United Airlines, this time through its Equator and Mustang investment platforms, according to a company statement. It delivered the 10th and final Boeing 737-9 three months after signing the transaction documents, bringing its fleet on lease to United to 26 Boeing 737 and Airbus A320-family aircraft. Financial terms were not disclosed.

Both platforms launched this year: Equator, set up with Blackstone Credit & Ins. in April, targets around USD 1.6 bn in annual aircraft investments, while Mustang, set up with Neuberger Specialty Finance in July, aims to invest around USD 6 bn over the medium term. DAE did not say how the aircraft were split between the two platforms. DAE Capital will act as servicer.

REMEMBER- United is a repeat customer: DAE completed an earlier sale-and-leaseback also covering 10 Boeing 737-9s, last November, six months after the order was placed. DAE also agreed in February to buy Macquarie AirFinance for USD 7 bn, and now owns, manages, or is committed to about 1k aircraft.

Russia sets up shop

Egypt and Russia are moving to activate the Russian Industrial Zone near Ain Sokhna port. Foreign Minister Badr Abdelatty met Maxim Oreshkin, deputy chief of staff of the Russian presidential executive office, on Monday to discuss steps to start work on the zone in the Suez Canal Economic Zone, according to a Foreign Ministry statement. The talks followed the naming of an industrial developer in July. No launch date was announced.

IN CONTEXT- The 2018 plan was far bigger: The 2018 agreement covered 5.25 mn sqm in the SCZone, at USD 7 bn, over 50 years. The project page now lists a 50-hectares site connected to Ain Sokhna port, with design and construction slated for 2026-2029 and operations for 2030. Firms there will get tax and customs breaks fixed for 49 years, Russian Deputy Industry and Trade Minister Roman Chekushov said last year.