Singapore budget carrier Tiger Airways said Tuesday it had exercised an option to buy 20 Airbus A320 aircraft worth $1.3bn.
European manufacturer Airbus had said in October that Tiger signed a contract for 30 medium-range, single-aisle A320s, with 20 more on option.
The 20 extra aircraft are for delivery by 2016, Tiger Airways chief executive Tony Davis told reporters.
The budget carrier has a fleet of nine A320s now and will have 70 by 2016 as it continues to expand its operations in the Asia-Pacific region.
The airline is 49 per cent owned by national carrier Singapore Airlines.
Southeast Asia's low-cost sector has boomed since the birth of Malaysia-based AirAsia almost six years ago spawned a host of imitators. (AFP)