ASEAN budget airlines to raise $750m

Air_Asia_X_Flight
Southeast Asia faces spiraling air travel passenger numbers

In several initial public offerings expected in 2013, a number of ASEAN budget airlines will raise a combined $750 million from the capital markets, according to a study released by Malaysia-based investment bank Malayan Banking Bhd.

Among the discount carriers planning an IPO this year are Thailand’s Nok Air and Bangkok Airways as well as the long-haul wing of Air Asia, Air Asia X, and Air Asia Indonesia. In the medium-term, Indonesia-based PT Lion Mentari Airlines and Citilink are also planning a listing.

The expected $750 million would be the biggest year for such deals after Singapore’s Tiger Airways and the Philippines’ Cebu Air went public in 2010, the study says.

Asia is currently the fastest growing market for air travel worldwide. The continent will account for 33 per cent of global passengers in 2016, according to the International Air Transport Association. Budget carriers’ market share in the Asia-Pacific region rose to 24 per cent last year from 1.1 per cent in 2001, a CAPA Centre for Aviation industry consultant was quoted as saying by Bloomberg.

The region’s passenger growth, both domestic and international, is expected to add about 380 million travelers between 2012 and 2016 to 1.2 billion, an IATA forecast in December 2012 pointed out.

The number of aircraft in the region’s fleet will almost triple to 13,670 in 2031 from 4,710 in 2011, according to the world’s biggest plane maker, Boeing.

 

 



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[caption id="attachment_7402" align="alignleft" width="300"] Southeast Asia faces spiraling air travel passenger numbers[/caption] In several initial public offerings expected in 2013, a number of ASEAN budget airlines will raise a combined $750 million from the capital markets, according to a study released by Malaysia-based investment bank Malayan Banking Bhd. Among the discount carriers planning an IPO this year are Thailand's Nok Air and Bangkok Airways as well as the long-haul wing of Air Asia, Air Asia X, and Air Asia Indonesia. In the medium-term, Indonesia-based PT Lion Mentari Airlines and Citilink are also planning a listing. The expected $750 million would...

Air_Asia_X_Flight
Southeast Asia faces spiraling air travel passenger numbers

In several initial public offerings expected in 2013, a number of ASEAN budget airlines will raise a combined $750 million from the capital markets, according to a study released by Malaysia-based investment bank Malayan Banking Bhd.

Among the discount carriers planning an IPO this year are Thailand’s Nok Air and Bangkok Airways as well as the long-haul wing of Air Asia, Air Asia X, and Air Asia Indonesia. In the medium-term, Indonesia-based PT Lion Mentari Airlines and Citilink are also planning a listing.

The expected $750 million would be the biggest year for such deals after Singapore’s Tiger Airways and the Philippines’ Cebu Air went public in 2010, the study says.

Asia is currently the fastest growing market for air travel worldwide. The continent will account for 33 per cent of global passengers in 2016, according to the International Air Transport Association. Budget carriers’ market share in the Asia-Pacific region rose to 24 per cent last year from 1.1 per cent in 2001, a CAPA Centre for Aviation industry consultant was quoted as saying by Bloomberg.

The region’s passenger growth, both domestic and international, is expected to add about 380 million travelers between 2012 and 2016 to 1.2 billion, an IATA forecast in December 2012 pointed out.

The number of aircraft in the region’s fleet will almost triple to 13,670 in 2031 from 4,710 in 2011, according to the world’s biggest plane maker, Boeing.

 

 



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

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Personal Info

Donation Total: $10.00

 

 

1 COMMENT

  1. This is a great sign for the ASEAN region, specifically for smaller countries in the region. Due to the increase in tourism countries like the Philippines are benefiting and growing economically.

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