Flydubai secures $320m financing

03 November 2010

Dubai-based airline has now secured more than $1bn-worth of financing for 13 aircraft

Dubai’s low-cost airline Flydubai has confirmed sale and leaseback agreements on four Boeing 737 aircraft worth $320m with Dublin-based Avolon.

This deal secures Flydubai’s financing requirements for 13 planes through to December 2011. The airline also signed $750m worth of deals with General Electric Capital Aviation Services (Gecas) and US-based BBAM to finance nine aircraft five weeks ago (MEED 23:9:10).

The financing deals are worth more than $1bn combined.

“This is a further indication that the international financing community views Flydubai and Dubai itself as a good investment for the future,” says Ghaith al-Ghaith, chief executive of Flydubai.

The airline has a fleet of nine Boeing 737 aircraft and is expected to take delivery of four more aircraft by the end of the year. Flydubai is due to begin flights to Abha in Saudi Arabia and Ashghabat in Turkmenistan in November, taking the total number of destinations to 28.

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