IAI-backed Eltel reaches final stage of $2 billion Dubai Metro tender
The Israeli company is bidding alongside Emirati and Indian partners for a multiyear operation and maintenance contract.
Israel's Eltel, jointly owned by Israel Aerospace Industries (IAI) and Malam Team Group, has advanced to the final stage of a tender to operate and maintain Dubai's new Metro Blue Line, a project estimated to be worth more than $2 billion.
The Blue Line is a major civil infrastructure project scheduled to begin operating in 2029. Winning the tender would give Eltel a role in operating and maintaining one of the Gulf's major new transportation projects for multiple years.
Eltel is bidding through its subsidiary, T&E Technologies, as part of a consortium that also includes Emirati company Al Shafar Group and Indian metro operator Delhi Metro Rail Corporation (DMRC).
Calcalist has learned that the consortium has reached the final stage of the tender process being conducted by Dubai's Roads and Transport Authority (RTA). Three groups remain in the competition. The identities of the two other bidders are not known, and the winner is expected to be selected toward the end of the year.
Construction of the Blue Line is already underway. In December 2024, RTA selected a consortium of Turkish companies MAPA and LIMA, together with Chinese railway giant CRRC, to lead the design and construction of the new line.
A senior official involved in the tender estimated that the final value of the operation and maintenance contract could exceed $2 billion, depending on the length of the agreement between RTA and the winning consortium.
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The three partners bring different capabilities to the bid. DMRC is expected to contribute extensive experience operating metro systems, including personnel management and passenger services such as ticketing, security and day-to-day operations.
Al Shafar provides local expertise, including familiarity with the UAE market, its regulatory and business environment, and local institutional and commercial relationships.
Eltel's role would focus on the technological maintenance of the systems installed along the line.
The tender comes shortly after a corporate restructuring at IAI. Until about a month ago, Eltel was a subsidiary of Elta Systems, which itself was part of IAI. Last month, IAI's board approved the merger of Elta into IAI, making Elta one of the company's four main business divisions.
IAI and the Companies Authority said the merger was intended to streamline operations and prevent duplication of activities.
