Singapore, 26 May 2017 – Singapore Technologies Engineering Ltd (ST Engineering) today announced that its aerospace arm Singapore Technologies Aerospace Ltd (ST Aerospace), through its subsidiary ST Aerospace Engines Pte Ltd (STA Engines), has injected its proportional share amounting to US$3.5m (S$4.89m) into the capital of its 50%-jointly controlled company, Total Engine Asset Management Pte. Ltd. (TEAM).
This injection will support the expansion of ST Aerospace’s engine leasing business, bringing its total investments to US$15.02m (S$20.97m).
TEAM is a joint venture established in 2011 between ST Aerospace and Marubeni Corporation. TEAM provides engine leasing services for CFM56-3, CFM56-5B, CFM56-7B engines that power narrowbody aircraft such as the Airbus A320 and Boeing 737NG, as well as the IAE V2500 engine which powers the Airbus A320 family (A320, A321, A319 and the Airbus Corporate Jet). TEAM recently expanded its engine leasing services to include the GE90-115B engine that powers the Boeing 777-300ER.
The capital injection is not expected to have any material impact on the consolidated net tangible assets per share and earnings per share of ST Engineering for the current financial year.