IndiGo shares in focus on MoU with CFM International for over 1,000 LEAP engines

Shares of InterGlobe Aviation, the parent of IndiGo, are likely to be in focus on Tuesday after the airline signed a Memorandum of Understanding (MoU) with CFM International for an order of more than 1,000 LEAP-1A engines to power 510 Airbus A320neo Family aircraft. The company said the agreement is the largest single order ever placed for LEAP engines and also a record for CFM International.

The MoU goes beyond engine supply and includes CFM International's support in setting up IndiGo's upcoming engine maintenance, repair and overhaul (MRO) facility. It also covers a long-term material services agreement, including the supply of spare parts, to support the airline's expanding fleet with improved reliability, predictable maintenance costs and operational support.

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Commenting on the agreement, IndiGo CEO Designate Willie Walsh said the airline's long-standing partnership with CFM International will continue as it enters its next phase of growth towards becoming a global airline. He noted that CFM has supported IndiGo since 2016 and currently powers a fleet of more than 375 Airbus A320/321 Family aircraft. Walsh added that the proven reliability of LEAP engines aligns with the airline's plans to expand its operations while improving operational resilience and meeting its sustainability goals.

IndiGo has been associated with CFM International for the past 10 years. The airline began operating Airbus A320ceo Family aircraft fitted with CFM56-5B engines in 2016, before placing an order for LEAP-1A engines in 2019 for its Airbus A320neo and A321neo fleet.

GE Aerospace Chairman and CEO H. Lawrence Culp Jr. said the renewed agreement reflects the strong relationship between the two companies. He added that GE Aerospace remains committed to supporting IndiGo's expansion through its manufacturing facility in Pune, engineering operations in Bengaluru and a broad supplier network across India.

India is CFM International's third-largest market, with five Indian airlines operating more than 400 LEAP-powered aircraft, while around 2,000 engines are currently on order.

Safran CEO Olivier Andriès described the agreement as a significant milestone in the long-standing partnership between IndiGo and CFM International. He said India remains a strategically important market for Safran and that continued investments in LEAP engine production and MRO capabilities reflect its long-term commitment to supporting IndiGo's growth and the development of India's aerospace sector.

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Last year, Safran inaugurated its 45,000-square-metre LEAP engine MRO facility, its largest such centre, which is expected to scale up to 300 LEAP engine shop visits annually and includes a next-generation test bench.

CFM International said it has delivered more than 10,000 LEAP engines so far, making it the fastest commercial aviation engine programme to reach that milestone. The company is also rolling out upgrades, including a high-pressure turbine durability kit to extend engine life and a reverse bleed system to reduce maintenance requirements, while continuing to strengthen engine availability through its global MRO network.

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