Log in
Show password
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

India's Akasa Air signs $4.5 billion deal with engine maker CFM International

11/17/2021 | 05:53am EST
FILE PHOTO: Investor Rakesh Jhunjhunwala poses for a picture in his office in Mumbai

BENGALURU (Reuters) -Indian ultra low-cost airline Akasa Air said on Wednesday it signed an agreement with CFM International for its LEAP-1B engines in a deal valued at nearly $4.5 billion at list price to power the 737 MAX airplanes it recently bought.

The agreement comes after billionaire investor Rakesh Jhunjhunwala-backed Akasa Air placed an order for 72 Boeing 737 MAX jets on Tuesday, valued at nearly $9 billion at list prices.

Jhunjhunwala, known as "India's Warren Buffett", has teamed up with former chief executives of IndiGo, the country's biggest carrier, and Jet Airways to tap into demand for domestic air travel, which is nearing pre-pandemic levels as the country recovers from a devastating outbreak earlier this year.

The agreement also includes spare engines and long-term services, the companies said in a joint statement.

The LEAP-1B engine entered into service on the Boeing 737 MAX in 2017, and over 2.5 million engine flight hours have been logged, the companies added.

SNV Aviation, which will fly under the Akasa Air brand, expects to begin operations next year after getting initial clearance from the civil aviation ministry to launch the country's latest ultra-low cost carrier.

(Reporting by Chandini Monnappa in Bengaluru and Aditi Shah in New Delhi; Editing by Krishna Chandra Eluri)

ę Reuters 2021
Latest news "Economy & Forex"
12:25pSterling at three-week low as equity slide hurts riskier currencies
12:24pECB to hike rates by 25 basis points in Dec 22 - Deutsche Bank
12:24p100 WEEKS INTO THE PANDEMIC : the importance of keeping schools open and investing in learning recovery programs
12:23pUK minister resigns over "woeful" attempts to stop COVID-19 loan fraud
12:21pBitcoin skids to six-month low as fears over Ukraine shake markets
12:20pAdvocacy group urges Pfizer to sell more COVID pills to developing countries
12:18pBank of England policymakers before Feb rate meeting
12:13pDeath toll rises to 6 in suspected homicide in Wisconsin home
12:10pEgypt targets $7 bln in FDI for oil and gas in 2022-2023 -minister tells Sky News Arabia
12:10pPoor nations pay highest debt service in 20 years -campaigners
Latest news "Economy & Forex"