Mubadala Investment Company has signed a memorandum of understanding (MoU) with industrial software firm Honeywell for the manufacturing, development and maintenance, repair and overhaul of aerospace products across the Middle East.
The two entities are set to collaborate to introduce a suite of products and services to the region.
The collaboration would link Honeywell with key Mubadala businesses Strata Manufacturing (Strata), Turbine Services & Solutions (TS&S) and Sanad Aero Solutions (Sanad).
The MoU was signed by Badr Al-Olama, director of aerospace at Mubadala, and Randy Anderson, Honeywell’s president of aerospace for Europe, the Middle East, Africa and India on the sidelines of the Dubai Airshow 2017, in the presence of senior management from both entities.
Mubadala Investment Company and Honeywell intend to establish Middle East capabilities for three major auxiliary power units (APUs), including spares pool management, predictive maintenance and associated connectivity.
In addition, the alliance intends to explore facilitating aircraft engine and component leasing, as well as the next generation air traffic management solutions, and the manufacturing of advanced materials in the region.
Al-Olama said, “As Mubadala Investment Company continues to invest in an agile and advanced ecosystem of aerospace products and services, our relationship with Honeywell, a Fortune 100 company, gives us access to a leading suite of high-tech offerings that will help differentiate our next phase of growth. Bringing these regional firsts to the heart of Abu Dhabi’s thriving aerospace hub, alongside a world-class company such as Honeywell, aligns with our commitment to leading-edge, competitive aerospace offerings.”
Norm Gilsdorf, Honeywell’s president of high growth regions, the Middle East, Russia, Turkey and Central Asia, said, “As a global software-industrial company, Honeywell has supplied the aerospace industry with leading technologies and services for over 100 years. We are proud to work with Mubadala to build local capability through advanced manufacturing and MRO services. This alliance represents an important step forward for the regional industry. Together, we can deliver solutions that build a safer, smarter, more sustainable, and more connected world.”
The Mubadala Investment Company-Honeywell envisaged collaboration has the potential to expand each company’s existing services portfolio, creating new opportunities that would incorporate engine technologies and connectivity, as well as advanced material technologies.
Furthermore, both companies intend to advance Honeywell’s existing air traffic management systems, including its SmartPath Ground-Based Augmentation System (GBAS). This technology – the only certified GBAS in the world – uses satellite navigation to enable aircraft to fly a range of different approach paths into an airport.
“This MoU is poised to achieve greater results than the sum of its parts because of the length and depth of our partnership – we will enhance our local and global aerospace capabilities, support our competitive offering, and leverage our core areas of expertise for a bright future, in the UAE and beyond,” Al-Olama added.
Earlier this year, $125 billion Mubadala Investment Company was formed after the completion of a merger between Mubadala Development Company and International Petroleum Investment Company.
The firm also recently announced H1 2017 revenues of $22.7 billion.
Honeywell has also announced a partnership with Royal Jordanian Airlines to deploy its Connected Aircraft GoDirect Fuel Efficiency software for the carrier.