The Board is pleased to announce that on 27 August 2024 (after trading hours), a wholly-owned special purpose vehicle of the China Aircraft Leasing Group Holdings Limited (the Seller) entered into the Aircraft Portfolio and Asset Sale and Purchase Agreement with a wholly-owned indirect subsidiary of Dubai Aerospace Enterprise (DAE) Ltd, (the Purchaser), pursuant to which the Seller agreed to sell and the Purchaser agreed to purchase seventeen leased-attached aircraft, which include, amongst others, fifteen aircraft owned by the Group, and two aircraft owned by an independent third party but managed by the Group.

Portfolio trading is in the ordinary course of the Group’s business. The transactions with one of the top lessors allow us to continually optimize the Group's fleet portfolio and underscore the Group’s asset management capability, thus opening up more business opportunities.

Parties:
(a) the Seller, which is a wholly-owned special purpose vehicle of the Company. The Group is a leading full value chain aircraft solutions provider. Its scope of business includes regular operations such as aircraft leasing, purchase and leaseback, portfolio trading and asset management, as well as value-added services such as fleet planning, fleet upgrade, aircraft maintenance, repair and overhaul, aircraft disassembling and recycling, and aircraft component trading; and

(b) the Purchaser, which is principally engaged in providing aviation services and its ultimate beneficial owner is the Investment Corporation of Dubai. To the best of the Directors’ knowledge, information and belief, having made all reasonable enquiries, the Purchaser and its ultimate beneficial owner are third parties independent of the Company and the connected persons of the Company.

Assets to be sold: (i) fifteen lease-attached aircraft, which are Airbus A320 series
aircraft and owned by the Group; and (ii) two lease-attached aircraft,
which are owned by an independent third party but managed by the
Group.

Completion: It is estimated that completion of the Aircraft Portfolio and Asset
Sale and Purchase Agreement will take place by December 2024, March 2025 and June 2025, respectively.