Mubadala Aerospace is looking to invest in manufacturing in the US in the next one to five years, according to the director of the aerospace business unit in Mubadala Investment Company.
“Investments in the US would be in the aerospace, especially in airframe manufacturing, and will be driven by opportunities,” said Badr Al Olama while speaking to reporters on the sidelines of the US-UAE Business Council meeting in Abu Dhabi on Sunday.
“So whenever we zero in on the products that make sense to manufacture and support Boeing, and Boeing believes that it is value-add for them, that’s the time. It could be one [year], it could be five [years] and anywhere in between,” he said.
The company is also considering opening a new manufacturing facility in North Africa, especially in Morocco, to be closer to its customer Airbus, Al Olama said. “Morocco or Northern Africa has a proximity to Europe. Being closer to the customers will be important for Strata.”
Strata, a unit of Mubadala Aerospace, manufactures aircraft parts for both Boeing and Airbus, and the company’s manufacturing facility is located in Al Ain.
The revenue of Strata reached Dh500 million in 2017 and is expected to reach Dh1 billion in future, Al Olama said.
Asked whether Mubadala Aerospace is looking at acquisitions, he said they are always looking for new opportunities and they “have an advantage in terms of capital utilisation and capital deployment”.
He added that the company has an important relationship with Boeing and Airbus in the aerospace side of the business and that more opportunitues will open up for them to consider.
“Once we find something, absolutely we will be vocal about it,” Al Olama said, without divulging more details.