Low-cost airline Flynas of Saudi Arabia announced on Tuesday that it would list its shares on the Tadawul stock exchange this year. This announcement came amid the kingdom’s efforts to expand its aviation industry and a surge in initial public offers (IPOs) nationwide.
The billionaire businessman Prince Alwaleed bin Talal supports Flynas, whose chief executive Bander Al Mohanna told the Airline Economics conference in Riyadh that the company’s sales increased by 32% annually to reach 6.3 billion Saudi riyals ($1.68 billion) in 2023.
Before the planned IPO, the carrier first disclosed its financial results. Mr. Al Mohanna stated that Flynas, founded in 2007, has made a profit every year since 2015—the only exception being the Covid-19 epidemic time.
The low-cost carrier’s listing coincides with Saudi Arabia’s larger aviation industry strategy, which aims to attract $100 billion in government and private investment to the kingdom’s airports, airlines, and aviation support services.
By 2030, the monarchy hopes to have developed a cargo capacity of 4.5 million tonnes, welcomed 330 million people, and ensured connectivity with 250 destinations as part of its goal. Under that strategy, Riyadh Air, a new carrier, was founded and will start flying the following year.
Based on the most recent data from the General Authority of Civil Aviation (Gaca) of Saudi Arabia, the Kingdom increased its air connectivity to 148 locations in 2023.
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