Flynas, a budget airline based in Saudi Arabia, has placed a significant order with European aerospace company Airbus, according to a Thursday announcement. The purchase includes 75 of the A320neo model, which is a single-aisle aircraft, and 15 A330-900 planes designed for longer flights.
The catalog value of the order is $13 billion, but its standard practice for bulk acquisitions to involve notable discounts.
At the UK’s Farnborough International Airshow, the two entities formalized their understanding with a memorandum of understanding. Notably, Boeing, Airbus’s US competitor, also received substantial orders during the same event this week.
When two companies sign a MoU, it means they have a basic agreement on a purchase, and the specific details will be negotiated later. This is different from a firm order, which would entail financial transactions.
Since its founding in 2007, Flynas has maintained a fleet composed solely of Airbus aircraft. They currently utilize 52 A320 planes and an additional four A330 jets through leasing agreements. Furthermore, the company has an existing order for 65 more A320 and A321 planes.
Airbus reported that the A330 aircraft acquired by flynas will undergo changes of fit 400 passengers, contrasting with the current layout that can accommodate a maximum of 300.
Bander Almohanna, the CEO of flynas, stated that the A330neo’s cutting-edge technology and efficiency will significantly boost their long-distance flight operations. He added that this acquisition aligns with the airline’s expansion goals and will also support Saudi Arabia’s pilgrim program.
