Saudi's NAS to launch new charter business for pilgrims as nasair grows fleet

The new division will focus on charters for the Hajj and Umrah sector.

The move was announced by Bandar Al-Mohanna, Deputy CEO of Nas Holding during the workshop organized by the company within the activities of the forum XII International for Umrah Services, in Istanbul.

Al-Mohanna said: “This new service will contribute significantly to enable the local and international Hajj and Umrah companies and establishments to incorporate its prices and committed schedules for Hajj and Umrah, based on the air transport important role in the implementation and success of these programs”.

Meanwhile Nasair announced it is to launch three new destinations in Turkey during 2011 -  Istanbul, Antioch and Adana  as well as  a new route to Sohag in Egypt.

NAS Holding made the move towards the charter business when it was revealed the airline had transferred more than 70,000 pilgrims from India, Pakistan, Cameroon and Senegal during 2009 and 2010 Hajj seasons on an ad hoc basis. By focusing a special targeted business the private Saudi company believes that number will grow significantly. 

The airline is also growing its fleet and earlier this week took delivery of an Embraer E190 aircraft – with another to join the fleet in the next few weeks.

The finance of the aircraft was based on what has been described as a first of kind aviation finance structure from Brazil where a financial institution provided the liquidity based on a government guarantees.

The innovative transaction was carried out by Natixis Transport Finance, a leading aviation European based Bank, as the Lead Arranger Bank to provide 80% of the acquisition of the Embraer 190 with estimated price tag of $34m based on a guarantee issued by the Brazilian government.

Natixis ranks as one of the world’s very top arrangers of aircraft finance has specialised all types of new aircraft assets (long- and medium-haul, regional, turboprops). With experience in Islamic finance.

NAS Holding’s Taher Agueel, said "This is the first time the Brazilian government has issued a guarantee under the structure to a company in Saudi Arabia and reflects the promising future of nasair, the creditworthiness of NAS, and the solid support from its shareholders. The innovative financial structure enabled nasair to exploit a new source of funding aircraft acquisition. And the importance of the structure is that it paves the road as well for funding future deliveries."