Skift Travel News Blog

Short stories and posts about the daily news happenings around the travel industry.

Airlines

Saudi Carrier Flynas Hires Goldman, Morgan Stanley for Potential IPO Next Year

1 week ago

Saudi Arabian low-cost carrier Flynas has hired Goldman Sachs Group, Morgan Stanley and Saudi Fransi Capital for a potential initial public offering on the Saudi Exchange (Tadawul), according to a Bloomberg report.

Flynas expects to go public next year. Earlier reports had suggested that Saudi Arabian sovereign wealth fund — Public Investment Fund (PIF) had been in talks to buy a stake in Flynas.  

This week, the airline announced taking delivery of three Airbus A320neo aircraft, further upscaling its fleet to 63 aircraft.

The airline has an ambitious expansion plan under the objective of connecting the world to the Kingdom, and in parallel with the objectives of Saudi Arabia’s National Civil Aviation Strategy to increase the number of international destinations linked to the Kingdom to 250.

With the latest deliveries, Flynas has more than doubled the size of its all-Airbus fleet by more than 100% in less than two years, increasing its A320neo aircraft by more than 73% to 46 aircraft. The fleet also has four A330 wide-body aircraft.

The airline signed a $3.7 billion agreement with Airbus for 30 new A320neo aircraft this June, as part of an order of 120 Airbus aircraft and approval to increase new orders to 250.

On December 1, the airline launched its newest operation base at Prince Mohammed bin Abdulaziz International Airport in Madinah with flights to 4 international destinations — Dubai, Amman, Istanbul and Ankara as well as two domestic flights to Abha and Tabuk.

Flynas now flies to a total of 10 destinations from its Madinah base, including Riyadh, Jeddah, Dammam and Cairo.

Since its inception in 2007, Flynas connects over 70 domestic and international destinations, operating a schedule of more than 1,500 weekly flights. The airline aims to expand its reach further, targeting a network that spans 165 destinations in total.

Saudi Arabia Government Launches a “Farming Tourism” Business

2 weeks ago

Saudi Arabia is truly leaving no stone unturned in its pursuit to become a tourism superpower. The kingdom’s latest move is to create the “Dan Company”, an organization under the sovereign wealth fund designed to promote and develop agritourism and eco-tourism.

Dan’s first project will be located in the Al Ahsa region and will cover 1.8 million square meters. It will feature an eco-resort, an agri-resort and an adventure resort, according to the Public Investment Fund (PIF).

The company is also expected to contribute approximately $1.6 billion (SAR 6 billion) to Saudi Arabia’s non-oil GDP by 2030, betting on intrepid travelers getting involved in “traditional farming experiences” in the Gulf state.

PIF’s co-head of local real estate development Khalid Johar said: “[Dan] will boost economic development and contribute to national economic growth. The company will operate novel business models that integrate sustainability and embrace nature, involving the private sector and local farmers in agritourism and ecotourism.”

The PIF is chaired by Saudi’s crown prince, Mohammed Bin Salman, and has around $700 billion in assets. As one of the world’s largest such wealth funds, PIF can finance many of the country’s ambitious tourism developments, including ski retreats, mega-yacht hubs, archipelagos and entire cities dedicated to entertainment.

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