Spring Airlines awaits approval for 30 A320s deal

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Spring Airlines' IPO prospectus confirms that the carrier has signed an agreement with Airbus for an additional 30 A320s.

The deal, inked last November, is however still subject to regulatory approval by the Chinese authorities.

In its prospectus filed with the China Securities Regulatory Commission yesterday, the carrier adds that it plans to grow to a fleet of 60 aircraft by the end of the 12th five-year plan period (2011-2015). Spring has a fleet of 39 A320s as of end 2013.

The fleet growth is necessary for the airline to expand its network, strengthen its bases, as well as to meet market demand, it adds. A part of the incoming aircraft will be direct purchases, while others will be secured on leases.

The carrier adds that it will have to return four A320s to lessors this year, as their leases expire.

Spring adds that as China places more importance on the low-cost carrier sector, there will also be more policy changes to support budget operators. It thus expects operations as well as revenues to grow.

The carrier’s chairman wang zhenghua previously told Flightglobal it plans to grow to a fleet of 100 jets by 2018, which will include the re-engined A320neo.