Etihad Airways Seeks Investors After Record Profits in 2024

Etihad Airways (EY, Abu Dhabi International) is seeking investors for up to a 20% stake as it prepares for an initial public offering (IPO), potentially raising USD1 billion. If listed, it would be the first Gulf airline to go public in 17 years. According to sources cited by Reuters, Etihad plans to attract both domestic and international investors, with an IPO expected as early as Q1 2025.

Currently, Etihad Airways is fully owned by Abu Dhabi’s sovereign wealth fund, ADQ. The airline recently reported its highest-ever annual profit, AED1.7 billion (USD476 million) for 2024. Passenger numbers surged 32%, reaching 18.5 million, up from 14 million in 2023. Revenue climbed to USD6.8 billion from USD5.5 billion, while EBITDA grew 32% year-on-year to USD1.3 billion. The carrier also achieved an 87% passenger load factor.

Other Gulf carriers may follow suit. Saudi Arabia’s flynas could go public in 2025, while Qatar Airways is reportedly considering a listing before the decade ends. The last airline in the region to go public was Kuwait’s Jazeera Airways in 2008.

Etihad’s IPO aligns with the airline’s strategy to expand its market presence and strengthen its financial standing. As the Middle East aviation sector grows, investor interest in regional carriers is rising. If successful, Etihad’s public listing could reshape airline ownership structures in the region.

Related News: https://airguide.info/category/air-travel-business/airline-finance/

Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com