The UAE-based airplane lessor Dubai Aerospace Enterprise (DAE) announced the signing of a definitive agreement to acquire 100% of Sky Fund I Irish, Ltd. and its subsidiaries

In a statement issued on Thursday, the company which is wholly owned by the Investment Corporation of Dubai (ICD), the principal investment arm of the Government of Dubai, didn't disclose the terms of the transaction.

Sky Fund I owns and is committed to own 36 aircraft on lease to 14 airline customers in 11 countries. Next generation technology aircraft represent more than 90% of the acquired portfolio, said DAE.

Following the Russian invasion of Ukraine, the plane lessor had to write off $576.5 million for the planes which it had leased in Russia and were later seized by the state in response to Western sanctions.

The transaction to acquire Sky Fund, which is subject to regulatory approvals, will be funded by internal resources and is expected to be completed in Q4-2022.

(Reporting by Brinda Darasha; editing by Seban Scaria)