DUBAI: Saudi Arabian Airlines will start talks with Airbus and Boeing about a narrow-body aircraft order before the end of the year, the state carrier’s top executive said on Thursday.
The requirement for flyadeal, its new low-cost subsidiary airline, will be for “probably 30 single-aisle aircraft,” Director General Saleh bin Nasser Al-Jasser told Reuters in Dubai.
The talks aimed at acquiring Boeing 737 or Airbus A320 aircraft will start “much sooner” than Dec. 31, he said at a meeting between aviation authorities from the UAE and Saudi Arabia.
Flyadeal launched domestic flights in September and plans to start operating international routes by mid-2018. It has agreed to lease eight A320s from Dubai Aerospace Enterprise (DAE) with the first delivered in August.
Al-Jasser had said prior to flyadeal’s launch that the airline would operate an entirely leased fleet of between 25 and 50 aircraft by 2020.
Earlier Al-Jasser told reporters that Saudi Arabian Airlines could list shares in its cargo business next year.
Under Saudia’s privatization plan it aims to next float 30 percent of the shares in the cargo subsidiary, a share market listing which “could be in 2018,” Al-Jasser said.
He said after that the airline’s private aviation or medical business could be listed.
Reuters reported in May that Saudia had engaged with advisers for the full sale of its medical unit, which is called Saudia Medical Services, based in Jeddah.
Saudia to start talks with Airbus and Boeing over narrow body order
Saudia to start talks with Airbus and Boeing over narrow body order
Closing Bell: Saudi main index rises to close at 11,341
RIYADH: Saudi Arabia’s Tadawul All Share Index rose on Wednesday, gaining 12.75 points, or 0.11 percent, to close at 11,341.27.
The total trading turnover of the benchmark index was SR5.15billion ($1.37 billion), as 84 of the listed stocks advanced, while 168 retreated.
The MSCI Tadawul Index increased, up 3.84 points or 0.25 percent, to close at 1,530.98.
The Kingdom’s parallel market Nomu lost 233.47 points, or 0.97 percent, to close at 23,810.24. This comes as 31 of the listed stocks advanced, while 39 retreated.
The best-performing stock was Al Majed Oud Co., with its share price surging by 6.02 percent to SR156.80.
Other top performers included Advanced Building Industries Co., which saw its share price rise by 5.75 percent to SR42.32, and Al Kathiri Holding Co., which saw a 5.50 percent increase to SR2.11.
On the downside, the worst performer of the day was Elm Co., whose share price fell by 5.99 percent to SR699.
Abdullah Saad Mohammed Abo Moati for Bookstores Co. and United Cooperative Assurance Co. also saw declines, with their shares dropping by 3.60 percent and 3.08 percent to SR45.02 and SR3.78, respectively.
On the announcement front, Saudi Arabian Refineries Co. has announced the completion of the issuance of the articles of association and the commercial registration of its holding company under the name Masafi Ventures Co. Holding, a wholly owned single-person limited liability company.
SARCO’s share price closed at SR51.80 on the main market, marking a 0.19 percent decrease.
In another announcement, Multi Business Group Co. has announced a project award from the National Housing Co. for the design and execution of the Al Aziziyah Sales Center.
The contract involves all construction, architectural, fit-out, and electromechanical engineering works for the new sales facility, according to a statement on Tadawul.
The company’s share price remained unchanged at SR10 on the parallel market.
