Flynas Secures SAR 495 Million Financing Deal for New Airbus Fleet
Deal News | Feb 27, 2025 | EIN
Flynas, a leading low-cost airline in the Middle East, has successfully closed a SAR 495 million ($132 million) Murabaha financing agreement with Bank AlJazira. This financing will support Flynas in acquiring three Airbus A320neo aircraft, as part of the company's broader strategy to expand its fleet and enhance its services. The deal is aligned with the objectives of Saudi Vision 2030 and aims to strengthen collaborations between the aviation sector and local financial institutions. Flynas has committed to leveraging national partnerships to develop the aviation ecosystem in Saudi Arabia, following a previous agreement with AviLease for a purchase and leaseback of 12 A320neo aircraft. This initiative underscores Flynas's dedication to innovation, improved operational efficiency, and environmental sustainability.
Sectors
- Aviation
- Banking & Finance
Geography
- Saudi Arabia – The primary location for Flynas and Bank AlJazirah, and central to the objectives of Saudi Vision 2030 to develop national sectors.
Industry
- Aviation – Relates to Flynas's acquisition of new aircraft and its initiatives to expand and innovate the aviation ecosystem.
- Banking & Finance – Involves Bank AlJazirah's financing agreement with Flynas to support aviation sector projects.
Financials
- SAR 495 Million (US$ 132 Million) – Murabaha financing agreement for acquiring three Airbus A320neo aircraft.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Flynas | Target Company | Company | A leading low-cost carrier in the Middle East focused on expanding its fleet and services. |
| Bank AlJazirah | Financial Partner | Company | A national financial institution partnering with Flynas to provide financing for aircraft acquisition. |
| AviLease | Leasing Partner | Company | Previously collaborated with Flynas on a purchase and leaseback agreement for Airbus aircraft. |
| Bander Almohanna | CEO of Flynas | Person | Leader overseeing Flynas's strategic initiatives and collaborations. |