First Gulf Bank grants finance for Royal Jet purchase

First Gulf Bank is extending a $15 million (Dh55 million) financing facility to Royal Jet of Abu Dhabi to purchase a new Bombardier aircraft, officials said.

"First Gulf Bank [FGB], in this first blueprint contract with Royal Jet, is financing $15 million [Dh55 million] of the purchase price of the aircraft. As part of our aircraft management service, Royal Jet is consulting its customers on purchasing and financing such business aircraft. Both Royal Jet and FGB look forward to many more contracts to follow," said Ramzi Zaroubi, Royal Jet's Chief Financial Officer.

An agreement regarding the financing was signed yesterday. The new aircraft will be delivered in May. The terms of the financing were not provided.

Royal Jet currently operates a fleet of four aircraft, including two Boeing Business Jets (BBJ) and two Gulfstreams (G300). "The Business Jet Charter, Block-Charter, and Aircraft Management market in the UAE, and the whole region, is experiencing significant growth as more companies and VIPs see the benefits of [freeing up] time in their busy schedules," said Khalifa Mohammad Al Kindi, a member of Royal Jet's board.

The Challenger 300 from Bombardier (based in Montreal, Canada) is a super midsize business jet aircraft with capacity for up to eight passengers, and a flying range of 2,800 miles. "The economics of the Challenger 300 combined with its large cabin and a range that covers the Middle East and the subcontinent, made this a relatively straightforward selection," said Capt Tilmann Gabriel, Royal Jet's President and Chief Executive. "This is the right aircraft for Royal Jet [and] will complement the superior quality [of] our fleet for Middle East charter operations."