International law firm Bird & Bird has acted as global legal adviser to Oman Air in its acquisition of a controlling stake in SalamAir, Oman’s leading low-cost carrier. The deal involves the purchase of 90% of SalamAir’s issued share capital, marking a significant development in the country’s aviation sector.
The move aligns with Oman’s long-term economic framework, Vision 2040, which prioritizes aviation as a key driver of diversification, tourism growth, and international connectivity. Authorities view the transaction as a step toward building a more competitive and sustainable aviation ecosystem.
Under the government’s dual airline strategy, both Oman Air and SalamAir will continue to operate independently, maintaining separate branding, market positioning, and service models. SalamAir will retain its focus on budget travel, while Oman Air will continue offering full-service operations, targeting premium and long-haul markets.
Officials expect that closer coordination between the two carriers will enhance operational efficiency across the sector. The approach aims to expand travel options for passengers while optimizing cost structures and improving overall financial performance, including in related services such as ground handling.
The acquisition is also intended to strengthen the financial sustainability of Oman’s aviation industry. With government backing, SalamAir is positioned to expand its low-cost network further, supporting regional mobility and attracting inbound tourism.
Established in 2016 and headquartered in Muscat, SalamAir operates a growing network across the Middle East, South Asia, and East Africa. Meanwhile, Oman Air, founded in 1993, serves as the Sultanate’s national carrier, connecting Oman to key destinations across Europe, Asia, Africa, and the Middle East.
The Bird & Bird legal team was led by partner Simon Allport in London, supported by senior associate Will Holder and colleagues from its Singapore office. The firm collaborated with Oman-based legal advisers Al Busaidy, Mansoor Jamal & Co., led by partner Mansoor Malik.
Source: ZAWYA