SAUDIA Group and AviLease Sign Leasing Agreement for 20 New Aircrafts

SAUDIA Group, the aviation holding company that owns SAUDIA and flyadeal, has signed a sale and leaseback agreement with AviLease company (owned by Public Investment Fund) that is specialized in aircraft financing and leasing.  The agreement will see AviLease deliver 20 Airbus A320neo aircraft to be operated on long-term leases by flyadeal, SAUDIA Group’s low-cost carrier (LCC).

Commenting on the deal, His Excellency Eng. Ibrahim Al-Omar, Director General of SAUDIA, said: “This sale and leaseback agreement with AviLease is an important deal for both companies, and an important step towards the realization of the Saudi Aviation Strategy.. In the few months since it was launched, AviLease has already established itself as a key enabler of the Kingdom’s aviation sector development. SAUDIA Group is proud to partner with them as we strive to achieve our shared national aviation and sustainable tourism goals.”

AviLease Chairman, Mr. Fahad Al-Saif, said: “We are pleased to sign this agreement with SAUDIA Group, owner of the Kingdom’s national carrier. Our partnership further cements AviLease’s strong portfolio within Saudi Arabia by delivering next-generation aircraft solutions to locally based operators from the world’s leading manufacturers. In addition to contributing to the development of the aviation sector in Saudi Arabia, in line with the objectives of the Kingdom’s Vision 2030. “

Edward O’Byrne, CEO of AviLease said, “AviLease is delighted with this latest development in what has already been a successful opening chapter for our company. We are proud to have SAUDIA Group as a partner, further demonstrating our commitment to the Kingdom, as well as the sector at large. This deal significantly boosts our fast-growing portfolio of cutting-edge, fuel-efficient aircraft, on long-term leases with quality airlines.”

The agreement will take AviLease’s portfolio to 32 aircraft. The new aircraft will join flyadeal’s existing all-Airbus fleet—comprising 20 Airbus A320 aircraft—and operate across its domestic and international network. The SAUDIA Group is distinguished by having the latest and most sustainable aircraft fleets in the world.

The deal between AviLease and flyadeal effectively supports Saudi Arabia’s growing aviation sector in line with the Saudi Aviation Strategy.

About AviLease

AviLease is an aviation financing and leasing firm investing in the latest generation aircraft through purchase and lease-back transactions, secondary portfolio and direct orders from aircraft manufacturers, aiming to contribute to the development of the aviation ecosystem.

Fully owned by PIF, AviLease has robust financial support and outstanding competencies which will support its vision and rapid growth ambitions. Founded in June 2022, AviLease is headquartered in Riyadh, Saudi Arabia. The company’s fleet consists of the latest generation of narrow-body and wide-body aircraft from the world’s leading manufacturers.

An experienced local and international management team leads the company’s growth, localize knowledge and expertise, which will enable the development of the company’s infrastructure to become a national champion in the global aircraft leasing market.

About SAUDIA Group

SAUDIA Group is one of the largest aviation conglomerates in the MENA region. The Group has played a key role in developing the industry through its 12 subsidiaries and strategic business units, which deliver world-class air transport, cargo, ground services, logistics, maintenance, catering, private aviation, real estate, training, and medical services.

SAUDIA Group’s flagship entity Saudi Arabian Airlines (SAUDIA) is the national carrier of Saudi Arabia and one of the Middle East’s leading airlines. The Group also serves various segments of passengers through its subsidiaries including flyadeal for economy travelers, SAUDIA Private Aviation (SPA) for elite travelers, and the SAUDIA Royal Fleet for Saudi Arabia Royal Family. Meanwhile, its MRO division SAUDIA Aerospace Engineering Industries (SAEI) offers aircraft maintenance and manufacturing across the Middle East, Asia, Africa, Europe, and North America. Prince Sultan Aviation Academy (PSAA), the training arm of the group, is the largest aviation training academy in the MENA region.

The group also provides uninterrupted logistics and cargo-handling services through SAUDIA Cargo and Saudi Logistics Services (SAL). In addition, Saudi Airlines Catering and Saudi Ground Services Co. (SGS) offer a comprehensive range of catering and ground-handling services. The group offers medical services specialized in aviation through Medical Fakeeh and the Saudi Arabian Real Estate Development manages and invest in real estate for SAUDIA Group.