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Home » Economy » Saudi Airline Flynas Confirms Plans to Launch IPO in 2024
Saudi Airline Flynas Confirms Plans to Launch IPO in 2024

Saudi Arabia’s Flynas, the low-cost airline backed by Billionaire Prince Alwaleed bin Talal, is set to launch its IPO on the Tadawul stock exchange this year. 

Flynas showcased a 32% annual revenue growth to reach $1.68 Billion in 2023 with plans to purchase 30 wide body aircraft.

Flynas aims to expand its operations further, aligning with the Kingdom’s aviation goals of increasing annual passenger traffic to 330 million by 2030. 

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Flynas IPO Plan

Image Credit Tadawul Group

The decision to go public on the Tadawul stock exchange this year is a strategic move by Flynas to tap into the growing market opportunities in Saudi Arabia’s aviation sector. 

The IPO preparations are reportedly in full swing, with Goldman Sachs Group, Morgan Stanley, and Saudi Fransi Capital being roped in late 2023.

Image Credit Flynas

The move towards an IPO aligns with Saudi Arabia’s broader agenda of bolstering its aviation sector. The Kingdom aims to accommodate 330 million passengers and enhance connectivity to 250 destinations by 2030. 

The IPO is expected to provide Flynas with the necessary capital to expand its operations further and play a significant role in realizing the Kingdom’s vision.

Flynas’s Impressive Financial Performance

Image Credit Flynas

Flynas has demonstrated an impressive financial performance. The airline reported a 32% annual revenue growth of $1.68 billion in 2023. The company has been profitable since 2015, except the pandemic-hit year of 2020. 

This strong financial performance and the airline’s ambitious growth plans make the upcoming IPO a much-anticipated event in the financial markets.

Acquisition of New Aircraft

Image Credit Flynas

In addition to the IPO, Flynas has unveiled its plans to acquire 30 wide-body aircraft. The company has already initiated the procurement process through a Request for Proposal (RFP), with the winning bid expected to be announced and finalized within the year. 

Currently, Flynas operates with a fleet of over 60 Airbus aircraft. The acquisition of new aircraft is expected to enhance the airline’s capacity and facilitate its expansion plans.

Flynas: Leading Saudi’s Low-Cost Airline 

Image Credit Flynas

Founded in 2007, Flynas is a leading low-cost airline in Saudi Arabia. The airline, backed by billionaire businessman Prince Alwaleed bin Talal, operates over 1,500 flights weekly, serving over 70 domestic and international destinations. 

Over the years, Flynas has carved out a niche for itself in the aviation sector by offering affordable and reliable air travel services.

Flynas’ Vision for the Future 

Image Credit Flynas

Flynas’ vision for the future is ambitious and growth-oriented. The airline plans to upscale its order to 250 aircraft to align with Saudi Arabia’s ambitious tourism and passenger traffic targets for 2030. With the recent delivery of its 50th A320 Neo aircraft, Flynas is on track to double its fleet size.

Transforming Saudi Arabia’s Aviation Sector 

Image Credit Flynas

As Flynas gears up for its IPO and further expansion, the airline is set to play a pivotal role in transforming Saudi Arabia’s aviation sector. 

The upcoming IPO and the acquisition of new aircraft mark an exciting new chapter in Flynas’ journey, promising new opportunities for growth and success in the years to come.

More Flynas Ventures 

Flynas New Madinah Base 

Image Credit Flynas

Flynas has recently announced the opening of the New Madinah Base at Prince Mohammed Bin Abdulaziz International Airport in the Holy City of Al Madinah

This expansion includes adding six new routes, two domestic routes to Abha and Tabuk, and four international routes to Dubai, Amman, Istanbul, and Ankara. 

This aligns with the country’s goal of connecting to 250 international destinations by 2030 and increasing passenger traffic to 330 million. 

These new routes will complement the existing four destinations from Madinah: Riyadh, Jeddah, Dammam, and Cairo, resulting in a total of ten destinations served by Flynas from the new Madinah hub.

Flynas and Eve Air eVTOL Operations

Image Credit Flynas

Flynas and Eve Air Mobility have joined forces to introduce eVTOL operations to Riyadh and Jeddah by 2026. 

The announcement was made that a Memorandum of Understanding (MoU) was signed to investigate the potential of eVTOL flights in the two cities to boost the aviation sector of Saudi Arabia and contribute to the sustainability goals of Vision 2030.

Flynas Joins The UN World Tourism Organization

Image Credit Flynas

Flynas has become the first Saudi airline to join the United Nations World Tourism Organization (UNWTO) as an affiliate member. 

This decision aligns with their goal of promoting sustainable and economical regional tourism. In recent months, Flynas has extended its flight routes to Europe and Africa and has been recognized as the Best Low-Cost Airline in the Middle East for 2023. 

This step not only sets a new standard for the aviation industry but also showcases Flynas’s dedication towards sustainable global tourism, which aligns with its sustainability strategy and the Kingdom’s vision for the future of the travel sector.

Keep Reading: Flynas Launches New Madinah Base Introducing 6 New Popular Destinations

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