IndiGo

India-based IndiGo has finalised a firm order with Airbus to purchase 250 A320neo family aircraft for $26.5bn.

Said to be the largest such order by number of aircraft for Airbus, the deal was announced in October as a provisional order by IndiGo.

IndiGo president Aditya Ghosh said: "This new order further reaffirms IndiGo’s commitment to the long-term development of affordable air transportation in India and overseas.

"The additional fuel-efficient A320neo aircraft will enable us to continue to bring our low fares and courteous, hassle-free service to more customers and markets, and will create more job opportunities and growth."

The latest deal increases IndiGo’s total A320 family aircraft on order to 530.

"The additional fuel-efficient A320neo aircraft will enable us to continue to bring our low fares and courteous, hassle-free service to more customers."

In 2005, the airline placed an order for 100 A320s, and became the first Indian operator of the A320neo model in 2011.

Airbus COO customers John Leahy said: "This order confirms the A320 family as the airliner of choice in the most dynamic aviation growth markets."

The airline expects to receive the new aircraft between 2018 and 2026, reported Reuters.

IndiGo plans to use majority of the new A320 aircraft on sale and leaseback transactions.

The re-engined and upgraded variant of the A320, the A320neo, is designed to compete with Boeing’s 737 MAX. A320neo features latest-generation engines and large Sharklet wing-tip devices, which are claimed to provide a 15% greater fuel efficiency.

By 2031, India is estimated to be the third-largest air travel market in the world, according to the International Air Transport Association.

Image: An A320neo in IndiGo’s livery. Photo: courtesy of Fixion / Airbus SAS.