Kroll Bond Rating Agency has upgraded the issuer and senior unsecured ratings of Dubai Aerospace Enterprise (DAE) to A- from BBB+, with the outlook revised to stable.
The upgrade reflects DAE’s expanding scale, improved fleet and customer diversification, and increased visibility on growth following its planned acquisition of Macquarie AirFinance, which is expected to close in the second half of 2026.
KBRA said the combined platform would have a pro forma fleet of 1,029 owned, managed and committed aircraft, positioning DAE as the third-largest global lessor by delivered aircraft, while also adding a sizeable forward orderbook.
The agency also highlighted DAE’s shift towards an unsecured funding model, with unsecured debt rising to 88% of total debt at year-end 2025, up from 57% in 2019, improving funding flexibility and access to capital markets.
DAE’s credit profile continues to be supported by contracted lease revenues, a diversified lessee base and strong liquidity, with available liquidity of $3.4 billion at year-end 2025. Leverage remained within target ranges at 2.8x debt-to-equity.
KBRA noted that risks remain from the cyclical nature of the aviation sector, as well as exposure to geopolitical disruption, including the ongoing Middle East conflict and elevated fuel costs. However, it said the impact on DAE is expected to be manageable given its diversified portfolio and track record in managing restructurings.
The stable outlook reflects KBRA’s expectation that DAE will maintain strong capital and liquidity metrics while continuing to execute its growth strategy.