18.9.14

IndiGo gets $2.6bn Chinese loan

Ahead of placing yet another mega order for aircraft, India’s largest domestic airline IndiGo has signed a $2.6-billion deal with Industrial and Commercial Bank of China Ltd (ICBC) for financing over 30 Airbus A-320s. The big ticket deal was announced on the day Chinese President Xi Jinping is in India.
In a statement, IndiGo said: “Through this MoU, ICBC will provide IndiGo financial solutions for the introduction of A320 and the other family of aircraft to the fleet in the form of sale and lease back or financial lease or commercial lending. The number of aircraft would be over 30 and the value of the deal would reach to the amount of $2.6 billion.” Most of IndiGo’s aircraft have been sold and leased back. The budget carrier, India’s only big profitable airline, is planning an IPO next year.

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