Singapore - Long-haul budget carrier, Scoot, will operate services to Jeddah in Saudi Arabia from May 1, taking over from parent company Singapore Airlines.
It will be Scoot's first destination in the Middle East.
The transfer of operations will result in an increase in capacity to and from Jeddah and better optimise the utilisation of the group's resources, SIA said in a statement on Thursday.
The premium carrier currently operates three flights per week to Jeddah via Dubai, with 285-seat Airbus A330-300s.
Subject to regulatory approvals, Scoot will start with thrice-weekly non-stop services between Singapore and Jeddah using 335-seat Boeing 787-8s, with plans to progressively increase frequency.
"Scoot is thrilled to be adding our first Middle Eastern destination to our network," said the airline's chief executive officer, Campbell Wilson.
"We have long wanted to operate to Saudi Arabia. Jeddah, its second largest city, is both a commercial centre as well as the principal gateway for religious pilgrimages to nearby Mecca. With thrice-weekly non-stop services, Scoot looks forward to improving connectivity between Singapore and this important world city," he said.
Customers who have made advance bookings to or from Jeddah on SIA will be re-accommodated on Scoot's new services, or may otherwise opt for a refund.