Vietjet Vice President Dinh Viet Phuong (1st row, center) exchanges the aircraft financing agreements with the representatives of Japanese companies
The signing ceremony was witnessed by the Vietnamese Prime Minister Nguyen Xuan Phuc and several high-ranking Japanese and Vietnamese dignitaries.
The agreement paves the way for MUL and BNP Paribas to finance Vietjet’s acquisition of up to five brand new aircraft, worth USD614 million, according to the manufacturer’s listed price.
Also, Vietjet, France-based banking group Natixis and some Japanese equity underwriters signed a Memorandum of Understanding valued at USD625 million, according to the manufacturer’s listed price, to facilitate financing for five additional aircraft.
These deals have been made under a financing plan for the new-age carrier’s future ownership of the aircraft.
The acquisition of all these aircraft is part of a new-and-modern aircraft contract signed earlier between Vietjet and Airbus, and includes A321neo aircraft, which incorporates the latest in engine design, advanced aerodynamics and cabin innovations.
All aircraft financed will be delivered to the airlines in the last quarter of 2018 or early 2019.
Speaking at the signing ceremony, Vietjet Vice President Dinh Viet Phuong, said these agreements will greatly contribute to the carrier’s plan for fleet expansion and network growth in the coming time, thus helping to better connect Japan and Vietnam.
Under the terms of the agreement, Vietjet and all financing partners will also work together to share best practices for the operation and management of the airline, boosting effectiveness and encouraging sustainable growth.
Vietjet has been recently listed by Airfinance Journal as one of the world’s 50 best airlines for healthy financing and operations, achieving a better ranking than many of the world’s most prestigious airlines./.