AerCap and Safran Sign Joint Venture Agreement for Shannon Engine Support
Following the acquisition of GECAS, AerCap Holdings has signed a 20-year joint venture partnership with Safran Aircraft Engines for a 50/50 stake in Shannon Engine Services (SES), the leading provider of spare engines for CFM International.
On Tuesday (November 2, 2021), AerCap Holdings N.V. announced that following their acquisition of GE Capital Aviation Services (GECAS), they have entered into a 20-year 50/50 joint venture agreement with Safran Aircraft Engines regarding Shannon Engine Support (SES). SES is the leading provider of spare engines for CFM International and is now a 50/50 joint company between AerCap and Safran. With over 30 years of experience, Shannon, Ireland-based SES is the world’s largest lessor of CFM56 and LEAP engines and will continue to provide lease engine support to both CFM and CFM operators. The company has marketing offices in Beijing and Budapest, and holds a portfolio of over 350 CFM56 and LEAP spare engines, including CFM56-5B, CFM56-7B, LEAP-1A and LEAP-1B engines.
In Tuesday’s announcement, AerCap’s CEO, Aengus Kelly, said,
“The SES business is a great fit within the AerCap portfolio, with similar expertise, common assets and a complementary customer base to our wholly owned engine leasing business. This partnership extends our longstanding relationship with Safran, one of the world’s leading aviation companies. We look forward to working with the team at Safran to drive continued success at SES.”
Safran Aircraft Engine’s CEO, Jean-Paul Alary, added,
“The SES joint venture with AerCap is a key asset of supporting our CFM operators, especially as the CFM56 and the LEAP engines continue to achieve strong success in the marketplace. Having AerCap, the largest aviation lessor, as a strategic partner significantly adds to our customer offering.”
AerCap Holdings N.V. (NYSE: AER) is the global leader in aircraft leasing and maintains one of the most attractive order books in the industry. The company serves around 300 customers in over 80 countries with comprehensive fleet solutions. AerCap is headquartered in Dublin and maintains offices in Shannon, Los Angeles, Singapore, Amsterdam, Shanghai, Abu Dhabi, Seattle, Toulouse and other locations worldwide.
Safran is an international high technology Group with operations in aviation (propulsion, equipment and interiors), defense and space. The company’s core purpose is to contribute to a safer, more sustainable world. With a global presence, Safran has 76,000 team members and reported 2020 revenues of €16.5 billion. The company holds, independently or in partnership, world or regional leaderships positions in the core markets they serve. Safran Aircraft Engines designs, produces and sells (alone or in partnership) commercial and military aircraft engines, which offer world-class performance, reliability and environmental-friendliness. Through CFM International, Safran Aircraft Engines is the leading global supplier of engines for short and medium-haul commercial jet aircraft. CFM is a 50/50 joint venture between Safran Aircraft Engines and GE. Safran is listed on the Euronext stock exchange, and is part of the CAC 40 and Euro Stoxx 50 indices.
Source: AerCap Holdings N.V.