Norwegian Air seals Chinese bank deal to finance expansion
Norwegian Air Shuttle has sealed a long-awaited joint venture with one of China’s biggest banks in a deal designed to bolster a balance sheet strained by the carrier’s breathless pace of expansion. The joint venture, 70% owned by a subsidiary of state-controlled China Construction Bank, will be responsible for financing 27 Airbus A320neo aircraft that Norwegian expects to be delivered in 2020-23. The airline said the deal with China Leasing International Corporation would slash its capital expenditure by US$1.5b. The joint venture with CCB follows more than a year of talks with potential partners as Norwegian, which is unusual in the industry for owning most of its aircraft, sought to free up cash. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2019-10-25/unaligned/norwegian-air-seals-chinese-bank-deal-to-finance-expansion
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Norwegian Air seals Chinese bank deal to finance expansion
Norwegian Air Shuttle has sealed a long-awaited joint venture with one of China’s biggest banks in a deal designed to bolster a balance sheet strained by the carrier’s breathless pace of expansion. The joint venture, 70% owned by a subsidiary of state-controlled China Construction Bank, will be responsible for financing 27 Airbus A320neo aircraft that Norwegian expects to be delivered in 2020-23. The airline said the deal with China Leasing International Corporation would slash its capital expenditure by US$1.5b. The joint venture with CCB follows more than a year of talks with potential partners as Norwegian, which is unusual in the industry for owning most of its aircraft, sought to free up cash. <br/>
