Alliance Aviation Sells 12 CF34-10 Jet Engines for Approx. AU$94 million

Alliance Aviation Services Limited (ASX: AQZ) has entered a binding sale and purchase agreement with Dallas-based Beautech Power Systems to sell 12 General Electric CF34-10 jet engines. The engines, removed from six airframes previously sold to Eirtrade, will be delivered ex Knock, Ireland. Ten engines will be handed over in FY25, and the remaining two will be in early FY26. The total transaction value is approximately US$40.2 million (AU$94.2 million), subject to standard delivery adjustments and the prevailing AUD/USD exchange rate.

This strategic move aligns with Alliance’s goal to monetize surplus inventory, unlock value, and retire debt without impacting current profit guidance. The sale will significantly reduce inventory levels and improve the Company’s net debt position. Managing Director Scott McMillan highlighted the Company’s success in capturing substantial market value and leveraging the low AUD/USD rate while establishing a solid relationship with Beautech, a key player in the CF34-10 engine market.

 

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