Stephenson Harwood's Singapore team advises Lion Air on largest-ever Airbus order

Transaction worth a record-breaking $24 billion.

International law firm Stephenson Harwood has advised Lion Air on the world's largest ever airline order, comprising of 234 Airbus - A320 and A321 aircraft (including Airbus' new NEO aircraft), and valued at US$24 billion. The order was formalised at a signing ceremony in Toulouse, overseen by the President of France, Mr Francois Hollande.

The Stephenson Harwood team was led by Paul Ng, assisted by David Hon and EthanTan out of the Singapore office.

The deal, in terms of the number of aircraft ordered, overtakes the previous aviation record set in 2012, when Lion Air, which Stephenson Harwood also advised on, placed an order for 230 Boeing 737 aircraft (including Boeing's new 737 MAX aircraft), valued at US$21.7 billion. The deal purchase option rights for another 150 aircrafts, which would bring the total value of the order to US$35 billion.

Commenting on the deal, Paul Ng, Stephenson Harwood's head of aviation said: "This transaction is a true testament of how far the aviation industry has 'taken off' in the past decade especially in South East Asia, one of the fastest growing markets in the world."

"The complexity of this transaction was compounded by the sheer size and need to manage risks related to taking delivery of a brand new variant of an aircraft which is still in development stages. Delivery and performance risk related to the NEOs for an order of this size is significant and needs to be managed from the carrier's viewpoint."

"We are delighted for Lion Air on this landmark order and proud to have been part of this market leading deal. We also congratulate Airbus' transaction team on their professionalism throughout."