Cebu Pacific (CEB), the leading airline in the Philippines, has signed a Memorandum of Understanding (MoU) with flyadeal, Saudi Arabia’s rapidly growing low-cost airline. This agreement was established to explore various strategic commercial initiatives aimed at enhancing cooperation between the two carriers.

The first phase of the MoU includes flyadeal leasing two Airbus A320 aircraft from Cebu Pacific for the peak summer flying season in Saudi Arabia. In return, Cebu Pacific is considering leasing A320s from flyadeal during the busy winter season in Southeast Asia at the end of the year.

At a joint press conference in Manila, both airlines’ CEOs discussed the significance of this partnership. Steven Greenway, CEO of flyadeal, highlighted that this marks the airline’s first strategic partnership with another airline. He noted the potential benefits of sharing technical knowledge and operational best practices, especially as flyadeal prepares to expand into long-haul operations with plans to introduce A330-900neos into its fleet by 2027.

The collaboration stems from discussions initiated earlier this year, following a visit by Greenway and a flyadeal delegation to Cebu Pacific to better understand its operations. Flyadeal aims to enhance its services in the long-haul sector, planning to deploy 10 A330 widebody aircraft to connect Saudi Arabia with the Philippines and Southeast Asia.

Cebu Pacific CEO Mike Szucs mentioned that the airline is looking to maximize its fleet capacity throughout the year. The partnership allows for the efficient use of aircraft, particularly during lean seasons when demand fluctuates.

Both airlines are committed to meeting regularly to devise joint commercial strategies in the coming months. Cebu Pacific, which operates 98 aircraft, has been recognized for its growth and innovation in the aviation sector, while flyadeal has established itself as the fastest-growing airline in the Middle East, focused on providing affordable travel options.

Cebu Pacific operates flights to 37 domestic destinations and 26 international destinations, while flyadeal has rapidly expanded since its launch in 2017, aiming to stimulate travel and tourism in line with Saudi Arabia’s Vision 2030 economic diversification strategy.