ABU DHABI – Aircraft manufacturer Airbus signed on Wednesday a $49.5 billion deal with private equity firm Indigo Partners to build 430 new planes, according to an announcement made at the Dubai Airshow 2017.
The deal makes Indigo Partners one of the largest customers in the world for the Airbus A320neo Family single-aisle aircraft, which are expected to be allocated among the airlines in which Indigo Partners has investments – United States’ Frontier Airlines, Chile’s JetSmart, Mexico’s Volaris and Hungary’s Wizz Air.
“This significant commitment for 430 additional aircraft underscores our optimistic view of the growth potential of our family of low-cost airlines, as well as our confidence in the A320neo Family as a platform for that growth,” said Bill Franke, Indigo Partners’ co-founder and managing partner.
The memorandum of understanding comprised the purchase of 157 A321neos and 273 A320neos, both of which are “single-aisle aircraft that offers the lowest operating costs, longest range and most spacious cabin,” according to John Leahy, Airbus’s chief operating officer – customers.
Based in Phoenix, the United States, Indigo Partners controls Frontier Airlines and founded the low-cost airline JetSmart in Chile earlier this year.