flydubai has inked an agreement for US$228 million with five regional and international banks to finance six new Boeing 737-800 aircraft. This financing is for two recently delivered aircraft, one more scheduled for delivery by the end of the year and three scheduled to be delivered in the second half of 2014.
The five banks which arranged the financing are Norddeutsche Landesbank Girozentrale (NORD/LB), Crédit Agricole Corporate & Investment Bank, Gulf International Bank BSC (GIB), PK AirFinance Japan (GE Capital Aviation Services) and Landesbank Hessen-Thüringen Girozentrale (Helaba).
The commercial bank funding is structured as a finance lease with quarterly loan repayments over a 10-12 year term.
flydubai’s chief executive officer, Ghaith Al Ghaith, said: “In 2012, our third year of operation, we started to diversify our sources of funding. The enthusiastic response to our RFP to source commercial funding is a positive endorsement of our strategy for continuing growth.”
The airline now offers Business Class catering to both leisure and business travellers across a number of destinations in its network.