Jet Airways to buy 75 more 737 Max airplanes from Boeing for $8.8bn

Naresh Goyal-promoted Jet Airways today signed a formal agreement with Boeing Co to acquire an additional 75 latest single-aisle 737 Max aircraft valued at USD 8.8 billion at current list prices.

The two companies inked the pact at the ongoing Farnborough International Airshow, which kick-started in southwest of London yesterday, according to a joint release.

In 2015, the airline had ordered 75 such planes. Earlier this year, it decided to buy 75 more aircraft of the same model.

"Boeing and Jet Airways confirmed that the Indian carrier placed an order for an additional 75 737 MAX 8 airplanes during a signing ceremony at the 2018 Farnborough International Airshow. The order is valued at USD 8.8 billion at current list prices," the release said.

With this, the full service carrier will now acquire a total of 225 Boeing 737 Max planes over a period of time as it eyes expansion in the fast growing domestic aviation market.

According to industry data, domestic air traffic in India has grown by almost 20 per cent per annum in the the last four years.

"The order emphasises Jet Airways' commitment to the growth and potential of the Indian aviation market," Jet Airways chairman Naresh Goyal was quoted as saying in the statement.

In June, the Mumbai-based carrier took delivery of its first Max and at present it has two 737 Max planes. It plans to induct a total of 11 such planes in the fleet by March next year.

The second largest airline by domestic market share, Jet Airways has around 120 aircraft in its fleet to serve more than 60 destinations in 15 countries across Asia, Europe and North America.