(Bloomberg) -- Airbus SE is poised to sign a deal with VietJet Aviation JSC for an order of as many as 20 A321XLR long-range planes, according to people familiar with negotiations.

The order is expected to be signed Thursday afternoon in the French city of Toulouse, said the people, who asked not to be identified because they aren’t authorized to speak about the matter. It may include the conversion of five A321neo aircraft from the airline’s existing order to A321XLR planes, according to one of the people.

Representatives for VietJet and Airbus declined to comment.

VietJet’s order -- worth $2.8 billion at list prices -- comes after Airbus cut its full-year targets for deliveries and cash flow because it is struggling to keep up with demand while rival Boeing Co. struggles to get its 737 Max flying again after two deadly crashes. VietJet has yet to receive any of the 200 737 Max jets it ordered from Boeing.

Thursday’s deal would supply the budget carrier with a fleet to take on the likes of state-run Vietnam Airlines JSC and ambitious newcomer Bamboo Airways, owned by hotel and leisure company FLC Group JSC. Underpinned by economic growth of about 7%, Vietnam’s middle class is expanding and people have more disposable income to fly.

VietJet said earlier this year that it intended to rely more on Airbus jets as it expands international routes while waiting for Boeing to resolve problems with the 737 Max.

Vietnam’s largest privately-owned airline already has 120 Airbus A321neo and five A321ceo planes on order. International routes are expected to account for 55% of revenue in 2019 and at least 60% a year later, up from 36% in 2017, Chief Financial Officer Ho Ngoc Yen Phuong said in April.

To contact the reporters on this story: Nguyen Dieu Tu Uyen in Hanoi at uyen1@bloomberg.net;Anurag Kotoky in New Delhi at akotoky@bloomberg.net;Siddharth Philip in London at sphilip3@bloomberg.net

To contact the editors responsible for this story: Young-Sam Cho at ycho2@bloomberg.net, John Boudreau, Will Davies

©2019 Bloomberg L.P.