The Paris Air Show, where the European planemaker is expected to announce a new 500-aircraft contract with Indian carrier IndiGo on its first day, is set for a grand entrance.
The proposed order is for A 320 neo family aircraft, according to people familiar with the negotiations. IndiGo and Airbus are moving to announce the agreement as early as Monday, said the people, asking not to be identified because the talks are private.
Airbus is also working to firm up talks with Saudi carrier Flynas Co. for a large narrowbody order that could become another marquee deal of the event alongside IndiGo, other sources said. Negotiations for both transactions could still drag out, and final number might change, the experts cautioned.
The Airbus, IndiGo and Flynas officials declined to comment.
On Friday, Airbus's CEO Guillaume Faury said the show will demonstrate how the industry is returning to the good old times of excitement. Even before the event, Airbus said it struck deals for 60A 320 family aircraft and 10A 350s from undisclosed customers, setting the pace for what stands to be a few busy days of orders.
Last year, Flynas said it wants to increase the volume of its flights to 250 aircraft to become the top low-cost airline in the Middle East. The company now has a fleet of about 50 aircraft, most of which are Airbus A 320s, and about 50 orders pending with the European manufacturer.
As part of a previous agreement, IndiGo has a backlog of about 500 planes, including a 300-plane order in 2019. Reuters reported that IndiGo is close to a record deal with Airbus this month.
Airbus and Boeing Co. are also vying for a deal to deal with about 25 aircraft, a source close to the news said. Although negotiations remain in flux, one of the people said, Boeing may have the upper hand to secure that accord with its 787 Dreamliner.
A purchase by IndiGo would add to a recent agreement by Air India to buy 470 aircraft from Airbus and Boeing, as the country s former flag carrier rebuilds its operations with a modern fleet under new ownership. With Indigo controlling over 60% of domestic airports, India is one of the fastest growing aviation markets globally.