Hanoi- The Vietnamese group FLC has signed a memorandum of understanding with Airbus to order 24 A321neo for its future airline Bamboo Airways.
According to a statement from FLC, the agreement, which does worth $3 billion at list price was signed in Hanoi on March 6. The A321neo will allow Bamboo Airways to launch its operations. Deliveries are
expected to continue until 2025. The group plans to order another 24 aircraft - A321LR this time - in the second phase of the new airline's expansion plan.
Bamboo Airways was founded by FLC Group in 2017. The airline is waiting for the issuance of its operating license by the Vietnamese authorities.
The network will include both domestic and international flights from Vietnamese cities where the FLC group is located, such as Quy
Nhon, Quang Ninh, Hai Phong, Thanh Hoa, Phu Quoc and Nha Trang, avoiding the hubs of Hanoi and Ho Chi Minh City.
This strategy aims to reduce the pressure on the infrastructure in major cities while strengthening regional links and international tourism in Vietnam,FLC said.
The group previously contacted with Boeing to order 15 aircraft before choosing Airbus as a partner. The European aircraft manufacturer will support the airline in obtaining its license.