Budget carrier flydubai eyes bond issue in 2015

[DUBAI] Budget carrier flydubai, which announced an US$8.8 billion plane order in November, will look to raise funds through a bond issue next year and is considering the option of sukuk (Islamic bonds), the company's chief financial officer said yesterday.

"We have not looked at bonds yet but we feel in 2015 we will explore that option and sukuk will certainly be interesting," Mukesh Sodani said at a conference in Dubai. "The key is diversification of our financing and that's why we are interested in sukuk."

The Dubai-based carrier is aiming for a benchmark- sized offer, funds from which would be used for the company's general operating expenses as well as to fund some of its aircraft deliveries, Mr Sodani added.