Vietnam’s FLC Group has signed a Memorandum of Understanding (MOU) with Airbus for up to 24 A321neo aircraft for future operation by start-up carrier Bamboo Airways.

The agreements were signed in Paris today by Trinh Van Quyet, Chairman of FLC Group and Eric Schulz, Chief Commercial Officer, Airbus during the official visit to France of Nguyễn Phú Trọng, General Secretary of the Central Committee of the Communist Party of Vietnam.

Bamboo Airways is set to begin operations in 2019 with aircraft on lease from third party lessors before taking delivery of the aircraft covered by today's MOU with Airbus. The carrier will focus on linking international markets to Vietnamese leisure destinations, as well as on selected domestic routes.

FLC Group is one of the largest conglomerates in Vietnam and is involved in a wide range of businesses including real estate development, hotels construction and management, financial services and mining. Bamboo will in particular serve destinations where FLC group has heavily invested in the tourism infrastructure.

The A321 is the largest member of the A320 Family, seating up to 240 passengers, depending on cabin configuration. Incorporating the latest engines, aerodynamic advances, and cabin innovations, the A321neo offers a significant reduction in fuel consumption of 20 percent by 2020. It offers the longest range of any single aisle aircraft and is capable of flying up to 4,000 nautical miles non-stop.