Saudi Arabian Airlines plans to raise around SAR 10.13 billion ($2.7 billion) through the listing of its ground-handling, cargo and maintenance units to finance aircraft orders and operating costs.
Chief Financial Officer Muhammad Al Bakri said the SAR 2 billion initial public offering of Saudi Ground Services will happen in the next weeks.
The listing of 30% of the cargo unit is planned for next year, while the 30% listing of maintenance unit is set to be floated in 2017, Al Bakri said.
The airline had announced in 2006 that it would partially privatize six of its units. The first, Saudi Airlines Catering raised $347 million after an IPO that saw the listing of 30% of the unit in 2012.
Al Bakri said Saudi Airlines will decide in the next six months on a Sukuk or conventional bond to raise funds for the bulk of fleet expansion plans as well as to consolidate its debt.
Chief Financial Officer Muhammad Al Bakri said the SAR 2 billion initial public offering of Saudi Ground Services will happen in the next weeks.
The listing of 30% of the cargo unit is planned for next year, while the 30% listing of maintenance unit is set to be floated in 2017, Al Bakri said.
The airline had announced in 2006 that it would partially privatize six of its units. The first, Saudi Airlines Catering raised $347 million after an IPO that saw the listing of 30% of the unit in 2012.
Al Bakri said Saudi Airlines will decide in the next six months on a Sukuk or conventional bond to raise funds for the bulk of fleet expansion plans as well as to consolidate its debt.
Source:
Mubasher
