Deal signifies Mubadala’s entry into engine component manufacturing with US$500M of work packages; GE Aviation and Mubadala further expand their GEnx maintenance, repair and overhaul (MRO) relationship
Today at the Dubai Airshow, Mubadala Aerospace, Communications Technology and Defense Services (ACTDS) announced that it has entered into a new agreement with GE Aviation in relation to next-generation engine maintenance and manufacturing.
Mubadala ACTDS has worked with GE since 2009, when it signed an initial agreement making it the first GEnx engine MRO Network Partner in the world. The agreement was one of several components of the broader strategic partnership forged between Mubadala and GE Corporation, encompassing a broad range of initiatives including commercial finance, clean energy research & development, and corporate learning.
GE Aviation and Mubadala have today signed a Joint Venture with a view to further enhancing the GEnx MRO relationship, including studies to explore opportunities such as the establishment of a regional GEnx logistics center in the Emirate of Abu Dhabi and a direct investment by GE in the existing GEnx engine shop.
In furtherance of its commitment to establish Abu Dhabi as a key member of its global supply chain ecosystem, GE Aviation will also work with Mubadala to develop engine component manufacturing capabilities within the Emirate, with the aim of positioning Mubadala to become a tier 1 engine supplier in the next decade, and have committed to US$500 million in work packages.
Homaid Al Shemmari, Executive Director of Mubadala ACTDS, said, “We have worked in close coordination with GE over recent years, and today’s agreement provides an important platform as we continue to expand Mubadala’s aerospace capabilities and market position to become a diversified global tier 1 aerospace supplier with a focus on aerostructures, engines and components.”
“Mubadala is a vital partner to GE in the Middle East, and today’s announcements will ensure our GEnx engine customers in the region are fully supported. We are also pleased to be supporting the continued expansion of the aerospace industry in the UAE through our work in helping to develop Mubadala’s engine manufacturing capabilities,” said David Joyce, President and CEO, GE Aviation.