ADQ offers to combine its shareholdings in AMMROC, Etihad Engineering and GAL into Abu Dhabi Aviation

ADQ offers to combine its shareholdings in AMMROC, Etihad Engineering and GAL into Abu Dhabi Aviation

- Proposed combination of Etihad Engineering, AMMROC and GAL with Abu Dhabi Aviation to create a globally competitive Aviation Services and Maintenance, Repair & Overhaul (MRO) business primed for future growth

- Combined operator to capture greater synergies through integrated service offerings to aviation customers at scale with increased access to highly skilled labor, capabilities, and supply chain

Abu Dhabi, UAE: ADQ, an Abu Dhabi-based investment and holding company, has submitted an offer to Abu Dhabi Aviation PJSC (ADA) (ADX: ADAVIATION) to combine its full 100% shareholding of Etihad Engineering and AMMROC, as well as its 50% ownership of GAL, into ADA, with the goal of establishing a diversified aviation services and MRO business, with strategic market access and commercial relationships with the world’s largest global aircraft manufacturers and OEMs.

The transaction is expected to create a globally competitive aviation business headquartered in Abu Dhabi to position the Emirate as a world-leading hub for aviation MRO services, logistics, supply chain and advanced engineering capabilities.

The combined group would have assets of approximately AED 9.4 billion (approximately USD 2.6 billion) with an extensive portfolio of aircrafts, MRO centers and hangars.

Upon closing of the transaction, ADA will issue to ADQ a convertible instrument that would convert