DYNAM JAPAN HOLDINGS (Stock Code: 06889) reported that its wholly-owned subsidiary, Dynam Aviation Ireland Limited (DAIL), entered into a Sale and Purchase Agreement on 30 October 2025 (European time) with SMBC Aero Engine Lease B.V. (SMBC) to purchase a used PW1133GA-JM aircraft engine. This engine is currently leased to Wizz under an existing lease agreement, which will be novated to DAIL on the delivery date.

An independent valuer appraised the engine's market value at around US$22.1 million. The parties agreed on a base purchase price at a discount to the valuation, with adjustments that include interest rate elements based on a benchmark rate and rental income allocation from 1 December 2024. The final settlement is expected on or before 31 August 2025, subject to conditions precedent such as acceptable non-incident statements and valid insurance certification. A deposit of US$250,000 has already been paid, with the remaining balance due upon delivery.

The novated lease arrangement with Wizz, which runs through 31 May 2033, is projected to provide annual pre-tax rental income (net of estimated operating costs) of approximately US$0.95 million in the financial years ending 31 March 2026 and 2027. The purchase constitutes a discloseable transaction under Chapter 14 of the Listing Rules, as one or more of the applicable percentage ratios exceed 5% but remain below 25%. DYNAM JAPAN HOLDINGS advises shareholders and potential investors to exercise caution when dealing in the company’s shares until the conditions specified in the agreement are satisfied.