Vietjet inks strategic aircraft financing agreement with GOAL

Eleanor Steed
By Eleanor Steed July 11, 2017 12:25

Vietjet inks strategic aircraft financing agreement with GOAL

Vietjet and GOAL German Operating Aircraft Leasing (GOAL) – a joint venture of KGAL and Deutsche Lufthansa, have recently signed a strategic agreement paving the way for GOAL to finance Vietjet’s acquisition of four brand new A321 aircrafts worth US$464 million in accordance with the manufacturer’s listed price.

Vietjet President and CEO Nguyen Thi Phuong Thao, Vietjet Vice President Dinh Viet Phuong, KGAL CEO Gert Waltenbauer and GOAL Managing Director Jochen Baltes represented both parties in signing the contract. The signing was witnessed by Vietnam’s Prime Minister Nguyen Xuan Phuc and other high-ranking dignitaries from Vietnam and Germany.

The acquisition of the four aircraft is part of the A320 family aircraft contract signed earlier between Vietjet and European aircraft manufacturer Airbus. Vietjet will receive the four aircrafts within 2017 to meet expansion plans for the airline’s domestic and international flight network.

Speaking at the signing ceremony, GOAL Managing Director Jochen Baltes said, “GOAL and KGAL are very excited about the purchase and leaseback of these four aircrafts with one of the world’s most dynamic low-cost airlines. Following this agreement, all parties will continue to work and cooperate together on more opportunities in aviation development in the coming time.”

Vietjet President and CEO Nguyen Thi Phuong Thao commented: “We have received 16 new A321 aircrafts from Hamburg, Germany worth nearly US$2 billion in accordance with the manufacturer’s listed price, including Airbus’ 9,000th A320 aircraft which brought forth great excitement in Europe.”

“Besides the fact that Germany has provided Vietjet with aircrafts, we are truly delighted to work with GOAL, one of Germany’s top aircraft finance and aviation companies. Today’s deal ensures the financing and sets favorable conditions for Vietjet to further develop its modern fleet, thus helping to enforce the airline’s quality and safety in operations which is an integral part of our strategy for the long-term development of Vietjet,” added Madam Thao.

Vietjet also recently signed a similar deal with Mitsubishi UFJ Lease & Finance Company Limited (MUL) to finance Vietjet’s acquisition of three brand new A321 aircraft worth US$348 million according to the manufacturer’s listed price.

Earlier in June at the Paris Airshow 2017 in France, Vietjet also signed a deal with Safran for its SFCO2 fuel efficiency solution. The SFCO2 service contract covers the entire fleet of the Ho Chi Minh City based airline which will enhance Vietjet’s operational efficiency by reducing fuel consumption and CO2 emissions.

Meanwhile, earlier in May in the US, Vietjet also signed a series of deals worth a total of US$4.7 billion to secure maintenance support for engines, components and other technical services including auxiliary power unit (APU) supply and APU technical maintenance and aircraft financing (and/or purchasing).

Image: Vietjet Vice President Dinh Viet Phuong (2nd from left) and GOAL Managing Director Jochen Baltes (2nd from right) signed the contract which was witnessed by Vietjet President & CEO Nguyen Thi Phuong Thao (1st from left) and KGAL CEO Gert Waltenbauer (1st from right).

Vietjet welcomed the 9,000th A321 aircraft at Tan Son Nhat International Airport in 2015.

Eleanor Steed
By Eleanor Steed July 11, 2017 12:25