GoAir to sell and lease back 10 planes
20 Apr 2007
Mumbai: Budget carrier GoAir has said that it plans to sell and lease back 10 planes and also to dilute equity to fund its expansion over the next three years.
Talking to reporters, GoAir CEO Jeh Wadia, said that the airline plans to sell and lease back 10 of the 20 Airbus A320 planes it has ordered. ''We have finalised sale and lease deals and are weighing whether to own the other planes (10 Airbus A320s) or opt for the same route,'' said Wadia.
Sale and lease back is popular financing mechanism used by airlines across the world to get around cash flow problems.
Wadia also announced the signing up of bollywood actress Preity Zinta as its brand ambassador. The airline will soon start a campaign 'Chalo India, Lets Fly Smart,' which will feature Zinta.