ST Aerospace will inject a further $2.81 million into its engine leasing joint venture, Total Engines Asset Management (TEAM), which will be used to expand its portfolio.
ST Aero announced to the Singapore Stock Exchange on 4 October that the capital infusion would be done in two stages, with $1.4 million injected immediately and the remaining $1.41 million to be injected on 16 October.
The latest injections will take ST Aero’s total share capital contribution in TEAM up to $11 million, the company adds.
TEAM intends to use the funds to acquire International Aero Engines V2500 engines to add to its portfolio. To date, it has focused primarily on CFM International CFM56 engines used by Airbus A320s and Boeing 737s.
Singapore-based TEAM was established in 2011 as a joint venture between ST Aero and Japan’s Marubeni Corporation, and provides engine leasing services with a particular focus on narrowbody aircraft engines.