Dubai: flydubai, Dubai’s first low cost airline, today announced sale and leaseback agreements on four Boeing 737-800 NG aircraft worth $320 million (Dh1, 175.26 million) at list prices, with aircraft leasing group Avolon.
In addition to recently announced deals with GECAS and BBAM to finance nine aircraft, this latest deal secures flydubai’s plans through to December 2011.
Ghaith Al Ghaith, CEO of flydubai, said: “We are delighted to be able to enter into this partnership with Avolon today. Like flydubai, Avolon is a young, ambitious, dynamic company and we look forward to a long and successful relationship with them.”
“This deal for four Boeing 737-800NG aircraft comes just five weeks after our announcement of sale and leaseback agreements for nine aircraft with GECAS and BBAM and takes the total value of the financing we have secured, during that period, to more than $1 billion. Our next 13 aircraft are now completely financed, which takes us through to December of next year.”
“This is a further indication that the international financing community views flydubai and Dubai itself as a good investment for the future.”
Since its launch in May, 2010, Avolon has executed contracts and letters of intent for the purchase of over 50 aircraft. The Avolon fleet, comprising Airbus A320s, Boeing 737NGs and Airbus A330s, is valued at in excess of $2 billion.
John Higgins, Avolon President and Chief Commercial Officer, commented: “We are delighted that flydubai has selected Avolon as a partner in its fleet development plans. A key element of Avolon’s strategy is to identify airlines that are long-term ‘winners’ and to back them in scale. Our team is uniquely experienced in structuring large and innovative sale and lease-back financing deals and we look forward to further developing our relationship with flydubai and our presence in the Gulf over the coming years”.
