November 23rd, 2017

Airbus to sell 430 planes to Indigo for $49.5 billion


By The Associated Press on November 15, 2017.

Emirati officials visit an Airbus A-380 decorated with an image of the late Sheikh Zayed bin Sultan Al Nahyan, during the opening day of the Dubai Air Show, United Arab Emirates, Sunday, Nov. 12, 2017. The biennial Dubai Air Show opened Sunday with hometown long-haul carrier Emirates making a $15.1 billion buy of American-made Boeing 787-10 Dreamliners, as the world's biggest defense companies promoted their weapons amid heightened tensions between Saudi Arabia and Iran. (AP Photo/Kamran Jebreili)

DUBAI, United Arab Emirates – Airbus is to sell 430 airplanes to U.S. firm Indigo Partners for $49.5 billion in the European firm’s biggest deal ever.

The announcement came at the Dubai Air Show on Wednesday and the deal includes 273 A320neos and 157 A321neos. The airlines that use the aircraft will include Frontier Airlines, JetSMART of Chile, Volaris of Mexico and Wizz Air of Hungary.

A320neos list for $108.4 million apiece and A321neos at $127 million. Airlines and manufacturers often negotiate lower prices for big deals like these.

Indigo Partners is a Phoenix-based private equity firm. It owns Denver-based Frontier Airlines and owns part of Mexico’s Volaris. It’s managed by William Franke, a pioneer of the cheap tickets and high fees airline business that has spread overseas and is growing in the United States.

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