National carrier Saudi Arabian Airlines (Saudia) is seeking to raise 5 billion riyals ($1.3 billion) via the first tranche of a sukuk isuance programme in the second or third quarter of this year, its director-general Saleh al-Jasser said on Tuesday.
The funds will be used to finance fleet expansion, as the carrier aims to operate 200 aircraft by 2020, he told reporters at a business conference.
Details of the second tranche of the sukuk programme have not been determined, he added.
The airline has been spinning off units in the last several years; it is now preparing documentation to hive off its cargo unit in an initial public offer of shares, Jasser said without giving details.
Originally published on www.arabianbusiness.com