Tiger Air: acquires 32.5% stake in SEAir for US$6m. This appears consistent with its Pan-Asian ambitions, and plans to build an operating base providing int’l and domestic flights in the Philippines. It is also an extension of Tiger’s current partnership with SEAir, in which Tiger has leased 2 A380 aircraft to be operated by SEAir, but marketed under the Tiger flag…
Nevertheless, Tiger’s route expansion plans in the Phils are likely to be preliminary still. Given SEAir’s current lack of scale, non-LCC focus, it is unlikely able to challenge Cebu Air, the leading LCC there, in the near term. Risks include greater competition with Air Asia’s aggressive entry, and bipolarization within the Phils airline industry (Clark Airport emerging as an alternative to Manila Airport).
No comments:
Post a Comment