Latham & Watkins and Gibson Dunn have advised parties in relation to the $1.1 billion initial public offering (IPO) of flynas, a low-cost airline, on the main market of the Saudi Exchange.
Latham & Watkins represented flynas as issuer’s counsel, while Gibson Dunn acted for the banks on the transaction.
It is the first airline to be listed on the Saudi Exchange and the first Gulf airline to go public in nearly two decades, following the IPOs of Air Arabia in the UAE and Jazeera Airways in Kuwait.
The airline offered 51.25 million shares, representing 30% of its share capital.
The institutional tranche was oversubscribed around 100 times, drawing over $109 billion in orders from both local and international investors.
The offering raised around $1.1 billion, making it the largest IPO in Saudi Arabia this year.
The airline plans to use these proceeds to expand its fleet—including a major order for a 225 Airbus aircraft—enhance services for Hajj and Umrah travellers, and invest in cargo operations.
Gibson Dunn advised Al Rajhi Capital, anb Capital, BSF Capital, Citigroup, Emirates NBD, Goldman Sachs, and Morgan Stanley. The team was led by Dubai and Riyadh capital markets partner Ibrahim Soumrany, with support from London corporate partner Chris Haynes, and Washington DC international trade partner Adam Smith.
The listing comes at a challenging time for the aviation industry as escalating tensions between Iran and Israel have led to the closure of several airports and restricted airspace across the region.
Abu Dhabi national airline Etihad, owned by sovereign investor ADQ, is rumoured to be considering an IPO, but no reports have been confirmed yet.
