Tiger Airways

Tiger Airways: ($0.475) Additional dark shadow on AirAsia's re-entry into Japan AirAsia announced its return into Japan with new local partners, which include Japan's e-commerce giant- Rakuten, cosmetics and wellness products distributor Noevir Holdings, sports-equipment maker Alpen Co and private equity firm Octave Japan Infrastructure Fund. Through the partnership, Rakuten intends to further augment its market leadership in the online travel segment via the partnership, where AirAsia Japan could benefit from the additional distribution channels. The strategic tie-up between Asia's fastest growing low cost carrier (LCC) and Japan's major distributors may cast another shadow of doubt over Tiger Airways, which started flights to Japan via Tigerair Philippines earlier in the year. At $0.465, Tigerair is valued at a hefty 1.7x P/B, against profitable peers Cebu Air (1.6x P/B) and AirAsia (1.3x P/B).