Latest news with #AviLease
Arab News
06-07-2025
- Business
- Arab News
Saudi PIF enters ‘post-trillion' era with pivot from scale to substance
RIYADH: Saudi Arabia's Public Investment Fund has surpassed $1 trillion in assets, marking a global milestone — but the organization is now pivoting from rapid expansion to a focus on solvency, strategic discipline, and sustainable long-term returns. According to Global SWF, the sovereign wealth fund, which recently announced an 18 percent increase in assets under management to SR4.32 trillion ($1.15 trillion) in 2024, is now prioritizing 'solvency over scale' and 'substance over show.' This evolution reflects a broader recalibration of Vision 2030's investment engine, one that balances domestic megaproject ambitions with liquidity concerns, geopolitical outreach, and disciplined asset rotation. While PIF's top-line revenues surged 25 percent to SR413 billion, net profit fell sharply, down 60 percent to SR26 billion, as rising interest rates, impairments, and project delays eroded returns. The decline signals a new reality for one of the world's most ambitious sovereign investors: returns must be restructured, debt must be optimized, and capital must be deployed with precision. To address these challenges, PIF has undertaken a series of strategic shifts. According to Global SWF, these include tighter performance management, a growing reliance on commercial paper and sukuk for short-term funding, and a renewed focus on mature, revenue-generating assets. Notably, net profits at AviLease, a PIF-owned aviation leasing firm, increased by 350 percent, while holdings in Uber overtook those in Lucid in PIF's US public equity portfolio, reflecting a pivot to more resilient assets. Meanwhile, PIF's role is increasingly geopolitical. The fund has been instrumental in securing major international partnerships, including anchoring investment platforms with BlackRock, Goldman Sachs, and Brookfield, as well as government-to-government deals with China, India, France, and the US. According to Global SWF, India's proposal of a 10-year tax holiday and sweeping capital gains exemptions aims to unlock over $100 billion in PIF-led inward investment, underlining its strategic importance. PIF's fiscal and institutional maturity is also earning global recognition. In July, the fund scored a perfect 100 percent in the 2025 Global SWF Governance, Sustainability, and Resilience Scoreboard. The ranking, which evaluates 200 sovereign investors globally, placed PIF among just nine funds worldwide and ranked it the highest in the Europe, the Middle East, and Africa region to meet all governance and transparency benchmarks. According to Global SWF, PIF's strong showing reflects solid progress in disclosures, leadership accountability, and commitment to ESG. That commitment is especially evident in the fund's ESG and green finance activities. In 2024, PIF launched a 100-year green bond as part of its sustainable finance framework, offering a rare long-term issuance that combines ESG impact with Shariah compliance. This approach is helping the fund attract diverse investor interest while aligning capital with climate goals. In parallel, the fund is building the Kingdom's digital and artificial intelligence backbone. In May, it launched HUMAIN, a national AI company tasked with advancing Saudi Arabia's position in sovereign AI capabilities. According to a PIF official statement, HUMAIN aims to invest in foundational models, develop Arabic-language datasets, and partner with global tech leaders, such as NVIDIA. The firm will serve as a vehicle for sovereign AI infrastructure and localization, supporting economic diversification and national security objectives. This evolving strategic posture comes at a critical moment for Saudi Arabia's foreign direct investment ambitions. While cumulative investments remain below Vision 2030 targets, the latest figures from the General Authority for Statistics show that the volume of foreign direct investment inflows reached SR24 billion in the first quarter of this year, marking a 24 percent increase compared to the same period in 2024. The figure reflects resilience despite global uncertainties, with PIF expected to play a leading role in accelerating capital deployment and crowding in private investors. The fund is also rebalancing its internal structure. As Global SWF noted, several giga-projects, including NEOM's 'The Line,' have been downsized. While originally envisioned as a $1.5 trillion smart city housing 1.5 million people by 2030, current projections suggest that just 300,000 residents and 2.4 km of development will be completed within that timeframe. Accordingly, PIF has trimmed budgets for several large-scale ventures by 20 to 60 percent for 2025. Yet this recalibration is not a retreat. It signals a transition to what Global SWF describes as 'precision finance,' which uses strategic levers such as commercial paper, asset recycling, co-investments, and sovereign partnerships to preserve liquidity and reduce fiscal strain. The fund's ability to blend long-term Eurobonds with short-term sukuk and CP issuance demonstrates a growing sophistication in liability management, which is rare among sovereign wealth funds. As PIF deepens its international exposure, its dual role as both an investor and a policy instrument is becoming increasingly evident. According to Global SWF, the fund's presence in Paris, its alignment with Trump-era Gulf deals, and its expanding memorandum of understanding with Asian markets reveal an increasingly geopolitical deployment of capital. Ultimately, the question facing PIF is not whether it can scale — it already has. The real test is whether it can steer Vision 2030 through a period of rising global interest rates, shifting capital flows, and mounting domestic expectations. If PIF can tighten execution, manage costs, and deliver returns across cycles, it may well redefine the playbook for state-driven transformation. As 2025 unfolds, the fund's performance will be closely watched, not only for its financial metrics but for what it reveals about the sustainability of Vision 2030's ambitions.
Zawya
24-06-2025
- Business
- Zawya
AviLease orders up to 77 Airbus A320neo, A350F aircraft
AviLease, the global aircraft lessor headquartered in Saudi Arabia, has announced a strategic order for up to 77 aircraft from Airbus. The order includes up to 55 A320neo Family and 22 A350F aircraft with deliveries scheduled through 2033. This strategic investment equips AviLease, to deliver newest generation, fuel‑efficient fleet solutions to its global customer base – in passenger and cargo segments – while contributing to the expansion of Saudi Arabia's aviation ecosystem. The agreement was signed during the first hours of the Paris Air Show by Edward O'Byrne, AviLease's CEO, and Benoît de Saint-Exupéry, EVP Sales of Airbus Commercial Aircraft, in the presence of Saleh bin Nasser Al-Jasser, Minister of Transport and Logistics, Abdulaziz bin Abdullah Al-Duailej, President of the General Authority of Civil Aviation (GACA), Yazeed bin Abdulrahman Al-Humied, Deputy Governor and Head of MENA Investments, Public Investment Fund (PIF), Fahad bin Abdulrahman Al-Saif, Head of the Global Capital Finance Division, Public Investment Fund (PIF), and Chairman of AviLease. Fahad AlSaif, Chairman of AviLease, said: "In less than two months, AviLease has signed two major deals, reflecting its long-term ambition to become a top 10 global player in aircraft leasing and to strengthen its position as a national champion. These milestones align with the Public Investment Fund's mandate to support the goals of Saudi Arabia's Vision 2030 and the National Aviation Strategy." 'We are proud to establish an Airbus order book, strengthening our position as a full-service, investment grade global lessor. The addition of these latest generation aircraft enhances our ability to offer modern, fuel-efficient fleet solutions to our airline partners in Saudi Arabia and around the world,' said Edward O'Byrne, CEO of AviLease. 'Our selection of the A350F is the result of close collaboration with stakeholders across the Saudi Arabian aviation ecosystem. Backed by strong local partnerships and demand aligned with Saudi Vision 2030 targets, AviLease was able to support the future growth of air cargo traffic in the Kingdom through securing the necessary aircraft delivery slots. We thank our local partners and Airbus for the strong long-term partnership we have established and look forward to placing these aircraft across our valued customer base.' Benoît de Saint-Exupéry, Airbus EVP Sales of the Commercial Aircraft business, said: "We are delighted to welcome AviLease as Airbus' latest customer with this significant order for the all new A350F and leading A320neo Family. The A350F will set the benchmark in air cargo, offering at least 20% reduced fuel burn, better loading capacity and increased range, while the A320neo Family continues to be the world's most popular single-aisle aircraft. This dual order reinforces AviLease's credentials as a leading lessor, and it demonstrates the broad appeal of our products among lessors and their airline customers." Last month, AviLease announced an order for 30 Boeing 737 MAX aircraft, adding to the existing portfolio of 200 aircraft on lease to 48 airlines globally, as at 31 March 2025. -TradeArabia News Service Copyright 2024 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
Yahoo
20-06-2025
- Business
- Yahoo
Paris Air Show: Airbus gets nearly $21 billion in orders
June 19 (UPI) -- During the Paris Air Show, Airbus on Thursday reported robust orders of nearly $21 billion, while Boeing was in the background as it struggles with a host of issues. The European aircraft manufacturer reported 142 firm orders and an additional 102 jets under provisional agreements. Airbus customers include Saudi lessor AviLease and LOT Polish Airlines, with 40 orders each. All Nippon Airways ordered 27 jets and Riyadh Air ordered 25 A350-1000 wide bodies. Starlux in Taiwan ordered 10 Airbus airliners and EgyptAir expanded an order from 10 to 16 jets. Boeing kept a low profile at the Paris Air Show, but recently got a Qatar Airways 210 airliner order during an official U.S. government diplomatic visit in the Middle East. Despite Airbus orders surging at the air show, both aircraft manufacturers are experiencing backlogged orders as they continue to face supply issues. Air Lease Corp CEO John Plueger told CNBC, "Both Airbus and Boeing are all sold out to 2031 and '32 anyway. So how many follow-on orders into the '33, '34, '35 time frame are you really going to see? ... But overall, the demand environment remains very robust." An Airbus order and delivery summary as of May 2025 shows total orders at 24,836. Boeing did not do aircraft fly-bys or major promotions at the Paris show. CEO Kelly Ortberg was to attend, but that plan was disrupted by the Air India Boeing Dreamliner crash, which claimed at least 280 lives, including 39 people on the ground. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
BBC News
20-06-2025
- Business
- BBC News
Rolls-Royce secures international deals for 142 aircraft engines
Rolls-Royce has secured multiple contracts to supply more than 140 aircraft Derby-based firm's civil aerospace division will build 90 Trent XWB-97 engines, 40 Trent 7000 engines and 12 Trent XWB-84 engines for companies across Saudia Arabia, Egypt, Taiwan and said the deals followed a £1bn investment to the Trent engine family aimed at improving their durability and at the 2025 International Paris Air Show, Ewen McDonald, chief customer officer for the firm's civil aerospace division said the contracts would help to safeguard jobs in Derby. "The opportunity at the moment in the market is very buoyant", said Mr McDonald."It's always nice to see Rolls-Royce being successful and that we're filling the factory up with these engines for many years to come."It's lots of work for many years and a lot of these orders go out into the 2030s."Mr McDonald added there were still some orders placed at the Paris Air Show that were yet to be announced. The new contracts AviLease, based in Saudi Arabia, placed an order for 20 Trent XWB-97 engines to power 10 Airbus A350F freighter Air, Saudi Arabia's newest national carrier, placed an order of 50 Trent XWB-97 engines that will power 25 Airbus based Starlux Airlines placed an order for 20 Trent XWB-97 engines that will power 10 Airbus A350-1000 widebody has ordered an additional 12 Trent XWB-84 engines that will power six Airbus A350-900s, which takes the airline's total order of Rolls-Royce Trent XWB-84 engines to Vietjet Air has placed an order for 40 Trent 7000 engines, that will power 20 Airbus A330neo aircrafts.
Yahoo
19-06-2025
- Business
- Yahoo
Paris Air Show: Airbus gets nearly $21 billion in orders
June 19 (UPI) -- During the Paris Air Show, Airbus on Thursday reported robust orders of nearly $21 billion, while Boeing was in the background as it struggles with a host of issues. The European aircraft manufacturer reported 142 firm orders and an additional 102 jets under provisional agreements. Airbus customers include Saudi lessor AviLease and LOT Polish Airlines, with 40 orders each. All Nippon Airways ordered 27 jets and Riyadh Air ordered 25 A350-1000 wide bodies. Starlux in Taiwan ordered 10 Airbus airliners and EgyptAir expanded an order from 10 to 16 jets. Boeing kept a low profile at the Paris Air Show, but recently got a Qatar Airways 210 airliner order during an official U.S. government diplomatic visit in the Middle East. Despite Airbus orders surging at the air show, both aircraft manufacturers are experiencing backlogged orders as they continue to face supply issues. Air Lease Corp CEO John Plueger told CNBC, "Both Airbus and Boeing are all sold out to 2031 and '32 anyway. So how many follow-on orders into the '33, '34, '35 time frame are you really going to see? ... But overall, the demand environment remains very robust." An Airbus order and delivery summary as of May 2025 shows total orders at 24,836. Boeing did not do aircraft fly-bys or major promotions at the Paris show. CEO Kelly Ortberg was to attend, but that plan was disrupted by the Air India Boeing Dreamliner crash, which claimed at least 280 lives, including 39 people on the ground. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
