Etihad Airways (EY, Abu Dhabi International) and Mubadala Development Company have entered into an agreement in which the airline will acquire Abu Dhabi Aircraft Technologies LLC (ADAT) from the Abu Dhabi government-backed firm.
The transaction includes maintenance and engineering teams, hangars, component workshops, and paint facilities in Abu Dhabi International which will enhance Etihad Airways capability to undertake airframe and component maintenance on its growing fleet of modern aircraft, including the new A380-800 and B787-9, which will join the fleet in the last quarter of 2014.
The deal will see Mubadala retain ADAT's engine-oriented Maintenance, Repair and Overhaul (MRO) business, which will be the catalyst for the establishment of a new engine company. Engine MRO is set to form a significant component of Mubadala’s aerospace strategy, and this new engine company will form the foundation for this growth under the leadership of Abdul Khaliq Saeed, ADAT's current CEO.
At the 2013 Dubai Air Show, Mubadala signed deals with Rolls Royce and GE Aviation to establish next-generation Trent XWB and GEnx MRO centres of excellence in Al Ain.
As well as servicing Etihad's fleet, ADAT's MRO facilities in Abu Dhabi will also be made available to Etihad Airways’ equity alliance partners such as Air Seychelles (HM, Mahé), Air Berlin (1991) (Berlin Tegel), Air Serbia (JU, Belgrade Nikola Tesla), Jet Airways (Mumbai International), and Darwin Airline (Lugano), as well as third party customers.
Jeff Wilkinson, Etihad Airways’ Senior Vice President Technical, will be responsible for ADAT's daily technical business as well as MRO operations.
