5th Aug 2024 Munich, Germany Saudia Group and Lilium N.V. (NASDAQ: LILM), a leading electric aircraft manufacturer and pioneer in Regional Air Mobility (RAM), today signed a binding sales agreement for 50 Lilium Jets, with options for 50 more. The signature ceremony was held at Lilium’s HQ in Gauting near Munich. The contract was signed by Fahd Al-Jarbou, CEO of Saudia Private, representing Saudia Group, and Lilium’s CEO Klaus Roewe, in the presence of several distinguished guests including HRH Prince Abdullah bin Khalid bin Sultan bin Abdulaziz, Ambassador of the Kingdom of Saudi Arabia to Germany; Michael Kindsgrab, the German Ambassador to the Kingdom of Saudi Arabia; H.E. Engr. Ibrahim Al-Omar, Director General of Saudia Group; H.E. Abdulaziz Al-Duailej, President of Saudi Arabia’s General Authority of Civil Aviation (GACA); and Lilium Chairman Tom Enders.
This sales agreement, which follows the Memorandum of Understanding between Saudia Group and Lilium signed in October 2022, marks the largest of its kind in the MENA region and represents an important industry milestone as the largest firm order of eVTOL aircraft by an airline that plans to operate the aircraft. It signals an unparalleled commitment to electric aviation from a world-leading operator, as well as a clear preference towards the superior performance, economics, and passenger experience provided by the Lilium Jet.
The agreement includes a schedule of deposit and pre-delivery payments, the timeline of future deliveries, guarantees on aircraft performance, and provisions on spare parts, maintenance, and repairs. In addition, the parties intend to sign a comprehensive “Lilium POWER ON” agreement for aircraft fleet maintenance and support services.
H.E. Engr. Ibrahim Al-Omar, Director General of Saudia Group, commented at the signing event, “Saudia Group is proud to pioneer the MENA region as the first company to acquire all-electric eVTOL jets, which reflects our commitment to continuously reducing its carbon footprint and becoming an industry leader in regional electric aviation. We recognize the critical role that Lilium is positioned to play in enabling us to deliver a sustainable premium aviation experience and transport our guests even closer to their destination. This agreement amplifies our commitment to the Saudi Vision 2030 and is the result of a collaborative effort over the past years between Lilium and Saudia Group to explore how we can best bring eVTOL to the skies of Saudi Arabia. We are looking forward to the journey ahead.”
Through this agreement, Saudia Group continues its ambitious objective to bring the world to the Kingdom by deploying its fleet of advanced eVLOT jets. This initiative enhances connectivity by providing seamless first and last leg connections into Saudia Group’s regional hubs and new point-to-point city connections, such as Jeddah to Makkah, reducing regional travel times by up to 90%. These jets support Hajj and Umrah pilgrimages, offer faster access to key sports and entertainment events in Riyadh, and unlock new possibilities for exploring hard-to-reach tourist destinations across the Kingdom. Additionally, business travelers attending conferences and events will benefit from improved access and swift transportation. The eVLOT jets will increase flight frequencies and decrease traffic congestion, providing a fast and convenient alternative for reaching various destinations within the Kingdom.
Saudia Group expects to receive the first jet in 2026, for which operations will be managed and run by Saudia Private, a subsidiary of Saudia Group. The Lilium jet will feature large, premium cabins with a capacity for up to six passengers plus luggage. It will deliver the Saudia premium experience that is deeply valued by the airline’s guests.
Before commercialization, Saudia Group will provide strategic support in Lilium’s certification process with the General Authority of Civil Aviation (GACA), Saudi Arabia’s aviation regulatory agency.
Klaus Roewe, CEO of Lilium, said: “We are proud of our partnership with a five-star airline such as Saudia. And we are thrilled to be pioneering progress in the eVTOL industry as the eVTOL manufacturer with the largest firm purchase order from an international airline that plans to operate the aircraft. The Middle East is a priority for Lilium, and Saudi Arabia will be a very large and exciting market for electric, high-speed regional air mobility. Our partnership will combine Saudia Group’s unrivalled market knowledge with our unique eVTOL technology to transform premium class air travel in the GCC region.”
This purchase agreement with Saudia Group marks the latest addition to Lilium’s extensive order pipeline which now consists of 106 firm orders and reservations, 76 options, and roughly 600 aircraft under MOU. Lilium is in advanced discussions with additional global carriers that are looking to reduce carbon emissions and electrify regional air travel.