Saudia-Owned Flyadeal Selects Boeing for Expansion Fleet with $3.5b in New Planes

Saudi Arabian discount carrier Flyadeal will switch from an all-Airbus SE fleet to Boeing jets after ordering 30 737 Max narrow-body planes worth $3.5 billion at list prices, according to a Bloomberg report.

The Chicago, Illinois-based Boeing has been in competition with France-based Airbus for the order since mid-2016, according to the report.

The airline committed to ordering 30 airplanes with options for 20 more in a deal that would be valued at up to $5.9 billion at list price, according to a press release.

Saudia Director General Saleh Al-Jasser.

Saudia Director General Saleh Al-Jasser.

Based in Jeddah, Flyadeal, which is owned by Saudia, began flights in September last year and currently serves eight destinations. Flyadeal offers affordable flights within Saudi Arabia. Over the past year, the airline has conducted an evaluation process for 50 narrowbody airplanes to support domestic growth and potential international expansion.

While flyadeal has been operating new Airbus A320s, the airline says it has selected the 737 MAX for the future.

The fleet expansion will allow it to add more domestic routes and expand into foreign markets, Saudia Director General Saleh Al-Jasser said in a statement.

“The demand for air transport services in the domestic market of the Kingdom of Saudi Arabia has grown exponentially. A new brand, with a fresh identity focused on low-fares, flyadeal has brought to the market a new choice – which has been received very positively,” Al-Jasser said.

“The low-fares airline will continue to expand rapidly, and the addition to the fleet aligns well with flyadeal’s target to grow its presence in the domestic market and cover new markets outside of Saudi Arabia.”