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Rolls-Royce Awards $6.5 Billion Engine-Repair Deal to Mubadala

Mahmoud Habboush
(Bloomberg) -- Rolls-Royce Holdings Plc awarded a unit of Abu Dhabi sovereign wealth fund Mubadala Investment Co. a $6.5 billion contract to service hundreds of engines that power the Airbus SE A330 jetliner.Sanad Aerotech will maintain 75 Trent 700 engines a year over nine years under the deal. That’s about 50 more than it services now, and represents one-quarter of all the A330 turbines that are overhauled globally for London-based Rolls each year, according to a statement Monday.With other contracts won, Sanad Aerotech is showing it “can take a larger stake” in the third-party maintenance market, Badr Al Olama, executive director of Mubadala Aerospace & Defense, said in an interview ahead of the Paris Air Show, where the contract was announced. The unit’s customers already include airlines from Chile, South Korea and Portugal.Sanad Aerotech, which will boost its workforce by more than 40% to almost 500 engineers and technicians, currently services about 100 engines annually, including the Trent 700, according Chief Executive Officer Mansoor Janahi.Other turbine types maintained are General Electric Co.’s GEnx, which powers Boeing Co.’s 787 Dreamliner, and the International Aero Engines V2500, used on Airbus A320-series jets.To contact the reporter on this story: Mahmoud Habboush in Abu Dhabi at mhabboush@bloomberg.netTo contact the editors responsible for this story: Nayla Razzouk at nrazzouk2@bloomberg.net, ;Anthony Palazzo at apalazzo@bloomberg.net, Christopher JasperFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

(Bloomberg) -- Rolls-Royce Holdings Plc awarded a unit of Abu Dhabi sovereign wealth fund Mubadala Investment Co. a $6.5 billion contract to service hundreds of engines that power the Airbus SE A330 jetliner.

Sanad Aerotech will maintain 75 Trent 700 engines a year over nine years under the deal. That’s about 50 more than it services now, and represents one-quarter of all the A330 turbines that are overhauled globally for London-based Rolls each year, according to a statement Monday.

With other contracts won, Sanad Aerotech is showing it “can take a larger stake” in the third-party maintenance market, Badr Al Olama, executive director of Mubadala Aerospace & Defense, said in an interview ahead of the Paris Air Show, where the contract was announced. The unit’s customers already include airlines from Chile, South Korea and Portugal.

Sanad Aerotech, which will boost its workforce by more than 40% to almost 500 engineers and technicians, currently services about 100 engines annually, including the Trent 700, according Chief Executive Officer Mansoor Janahi.

Other turbine types maintained are General Electric Co.’s GEnx, which powers Boeing Co.’s 787 Dreamliner, and the International Aero Engines V2500, used on Airbus A320-series jets.

To contact the reporter on this story: Mahmoud Habboush in Abu Dhabi at mhabboush@bloomberg.net

To contact the editors responsible for this story: Nayla Razzouk at nrazzouk2@bloomberg.net, ;Anthony Palazzo at apalazzo@bloomberg.net, Christopher Jasper

For more articles like this, please visit us at bloomberg.com

©2019 Bloomberg L.P.