Wizz Air Orders 100 New Planes, Plans Aggressive Expansion – – Daily Cryptocurrency and FX News

Wizz Air

Wizz Air has now ordered over 100 planes from Airbus in a bid to acquire more ground in Europe’s budget travel market space. The deal with Airbus forms a part of the airline’s plan to triple the number of aircraft it operates by 2030.

This Hungarian-based carrier acquired 102 Airbus A321 aircraft, and most of them will be delivered between 2025 and 2027. There is an option to buy a further 94 planes by the end of this decade. The new move comes as Wizz seeks to aggressively expand and win a growing market share from rivals post-pandemic. This airline focuses on central and eastern Europe.

The A321neo costs nearly $100 million (£74.5m) a piece based on list prices, which means that the order is worth nearly $20 billion. Nonetheless, airlines normally get a huge discount when bulk buying. This deal still requires to get approval from Wizz’s shareholders.

Jozsef Varadi, the chief executive, said:

“Despite the strong demand for the aircraft, we have signed very attractive terms with Airbus for the long-term supply of more aircraft until the end of the decade, catapulting Wizz Air towards our aim of being a 500 aircraft group and putting us in an unassailable position when it comes to sustainability.”

Wizz has expanded rapidly under Varadi since its founding in 2003. In September 2021, the carrier made an unsuccessful swoop on easyJet, in a sign of its ambition of being a massive post-Covid winner.

Reports prove that the deal forms part of the airline’s plan to triple the total number of aircraft it operates by 2030. By September 2022, the airline hopes to increase the number of planes it operates from 144 to 170 and hire nearly 1,700 new staff.

Earlier this November, Wizz confirmed that it wants to cut fares outside school holiday periods to attract more travelers and fill more seats on the quieter flights over the winter and into spring as it competes for the market share with Ryanair.

Mr. Varadi was handed a controversial bonus plan several months ago which will see him pocket £100m if he can manage to double the London-listed carrier’s share price in the next five years.

Wizz continues to take deliveries of new planes in this pandemic period. In September, its traffic was just 7pc lower than the same month two years ago, based on an analysis of fees charged by air traffic controllers.

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