Saudi Arabia's low-cost airline Flynas has secured a murabaha facility, a cost-plus Islamic financing structure, worth 844 million riyals ($225 million), to fund its growth.

The facility is the first tranche of a 2.25 billion riyals financing programme, the airline said in a statement on Monday.

In March, the Flynas’ board of directors approved the company’s strategic plan and agreed to increase the volume of its orders to 250 aircraft.

The financing was arranged by Credit Suisse and syndicated to a number of Saudi banks including Banque Saudi Fransi, Arab National Bank, Al Rajhi Banking and Investment Corporation, and Bank Aljazeera.

Flynas, part-owned by the investment firm of Saudi billionaire Prince Alwaleed Bin Talal, was launched as Nas Air in 2007 with an all-Airbus fleet. The Riyadh-based budget carrier has a deal worth 32 billion riyals with Airbus to purchase 120 A320neo aircraft.

(Reporting by Brinda Darasha; editing by Seban Scaria)