IAI subsidiary reaches final stage of major Dubai Metro tender

The Israeli company Altel, held in equal ownership by Israel Aerospace Industries (IAI) and the Malam-Team group, has reached the final stage of a tender for the operation and maintenance of the new metro line in Dubai (the Blue Line), with a scope estimated at over $2 billion. This is a significant civil infrastructure project whose operation is expected to begin in 2029.

Altel is competing in the tender through its subsidiary, T&E Technologies, and as part of a consortium that also includes the local Al Shafar group and the Indian metro company Delhi Metro Rail Corporation (DMRC). Calcalist has learned that the consortium has reached the final stage of the process managed by Dubai's Roads and Transport Authority (RTA), in which three groups remain competing for the concession. The selection of the winning company is expected towards the end of the year.

The construction of the Blue Line metro has already begun, as in December 2024 the RTA selected a consortium of the Turkish companies MAPA and LIMA and the Chinese railway giant CRRC to lead the design work. A senior official involved in the matter estimated in a conversation with Calcalist that the final financial scope of the maintenance and operation tender may be higher than $2 billion, depending on the duration of the engagement period.

Within the consortium, the Indian partner DMRC is expected to bring extensive operational experience in managing metro systems, personnel, and passenger services. The Emirati partner, Al Shafar, provides the group with a local advantage based on deep market knowledge. Altel's share in the partnership focuses on the technological maintenance of all systems built along the line.

Until about a month ago, Altel was a subsidiary of Elta Systems. Last month, the IAI board of directors approved the merger of Elta into the parent company, making it one of its four main business divisions. This move was explained by IAI and the Government Companies Authority as one intended to streamline operations and prevent duplication.