The agreement is worth SAR 32 billion ($8.6 billion) at list prices and includes 80 firm orders with deliveries scheduled during 2018-2026.
Another 40 purchase rights were announced earlier by Ayed Al Jeaid, chairman NAS Holding, and Bander Al Mohanna, chief executive NAS Holding Group.
flynas, an all Airbus operator, currently has 26 A320ceos in service.
Launched in 2007, the airline has successfully operated over 260,000 flights carrying more than 30 million passengers in the last ten years.
Ayed Al Jeaid, chairman of NAS Holding Group said: “flynas has come a long way very successfully to establish itself as a highly reputable airline in Saudi Arabia.
“With the introduction of new aircraft technology, we are confident of providing the best services to our guests.
“We also look forward to being the first airline in Saudi Arabia to be successfully listed in Saudi Stock exchange, which would offer equity ownership to the public to be a part of a great success journey.”
To illustrate flynas’ rapid growth, the airline set a new record carrying over 6.3 million passengers in 2016, a 14 per cent year-on-year increase.
The A320neo offers flynas unbeatable efficiency and comfort in both high-density domestic segments as well as routes with lower passenger load factors.
Bander Al Mohanna, chief executive, NAS Holding Group said: “We have operated exceptionally well with our existing Airbus A320 fleet, which has allowed us to maintain high performance standards in operations and passenger experience.
“We have an ambitious growth vision and the new A320neo order will further support our plans to be a leading low cost carrier with the most advanced and efficient technology to strengthen our offerings within and outside of Saudi Arabia.”