Waha Capital eyes acquisitions in aircraft leasing business - two by the end of 2010

Waha Capital, based in Abu Dhabi, announced talks with approximately ten companies in the aircraft leasing business and maritime, with plans to acquire controlling stakes in the businesses and conclude up to two agreements in 2010 (Reuters, 16-Mar-2010). A proposed issue of USD272 million in convertible bonds or sukuk would fund the acquisitions, for which Waha gained Board approval on 23-Feb-2010 and requires shareholder approval on 21-Mar-2010. Waha plans to invest up to USD20 billion in growth opportunities over the coming few years. The company acquired a 50% stake in AerCap subsidiary, AerVenture, for USD135 million. Waha Leasing also owns and manages approximately 100 aircraft worth USD4.4 billion, with customers including Emirates, Etihad Airways, Qatar Airways, Air Canada, Aeroflot and Malaysia Airlines.

Waha Capital: "We are expecting to conclude at least one or two acquisitions in 2010. There are good valuations now and you get a better deal than a couple of years ago. The USD20 billion will be spent on growing our business in all spaces...and growing our subsidiaries. We are in discussions, some advanced, some early stages, with different companies globally," Salem Al-Noaimi, CEO. Source: Reuters, 16-Mar-2010.