Philippine Airlines lands deal in Cambodia

PALPhilippine Airlines (PAL), the Philippines’ national carrier, is planning to take a 49 per cent stake in newly founded Cambodia Airlines, according to a statement released on April 4 by San Miguel Corp., which shares control of the Philippine carrier with the investment holding of Filipino businessman and billionaire Lucio Tan.

Cambodian tycoon Kith Meng, chairman of the Royal Group, a hotel, media and telecommunications company, will hold a 51 per cent stake in the new carrier, according to the statement.

Cambodia Airlines will have to compete with Cambodia Angkor Air, the national flag carrierof Cambodia, headquartered in Phnom Penh. The airline is owned by the Cambodian government (51 per cent) and Vietnam Airlines (49 per cent),

San Miguel gave no details of how PAL would be involved in the new airline’s launch planned later this year. San Miguel acquired 49 per cent of debt-ridden PAL in 2012 while Lucio Tan holds the majority share. Under new ownership, PAL has finally begun to upgrade its fleet and turn around its poor image.

PAL, the oldest commercial airline in Asia, is in dire need for expansion to ramp up its business. According to the Center for Asia Pacific Aviation, an aviation research firm, PAL saw its share of the Philippine international passenger market slip from 27.5 per cent in 2010 to 23.6 per cent in 2012. Competitor Cebu Pacific is already ahead of PAL in regional destinations. Cebu Pacific currently has a 28-per cent share of seat capacity in the Philippines-Southeast Asia international market compared to the PAL’s 23 per cent.

 



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Philippine Airlines (PAL), the Philippines' national carrier, is planning to take a 49 per cent stake in newly founded Cambodia Airlines, according to a statement released on April 4 by San Miguel Corp., which shares control of the Philippine carrier with the investment holding of Filipino businessman and billionaire Lucio Tan. Cambodian tycoon Kith Meng, chairman of the Royal Group, a hotel, media and telecommunications company, will hold a 51 per cent stake in the new carrier, according to the statement. Cambodia Airlines will have to compete with Cambodia Angkor Air, the national flag carrierof Cambodia, headquartered in Phnom Penh....

PALPhilippine Airlines (PAL), the Philippines’ national carrier, is planning to take a 49 per cent stake in newly founded Cambodia Airlines, according to a statement released on April 4 by San Miguel Corp., which shares control of the Philippine carrier with the investment holding of Filipino businessman and billionaire Lucio Tan.

Cambodian tycoon Kith Meng, chairman of the Royal Group, a hotel, media and telecommunications company, will hold a 51 per cent stake in the new carrier, according to the statement.

Cambodia Airlines will have to compete with Cambodia Angkor Air, the national flag carrierof Cambodia, headquartered in Phnom Penh. The airline is owned by the Cambodian government (51 per cent) and Vietnam Airlines (49 per cent),

San Miguel gave no details of how PAL would be involved in the new airline’s launch planned later this year. San Miguel acquired 49 per cent of debt-ridden PAL in 2012 while Lucio Tan holds the majority share. Under new ownership, PAL has finally begun to upgrade its fleet and turn around its poor image.

PAL, the oldest commercial airline in Asia, is in dire need for expansion to ramp up its business. According to the Center for Asia Pacific Aviation, an aviation research firm, PAL saw its share of the Philippine international passenger market slip from 27.5 per cent in 2010 to 23.6 per cent in 2012. Competitor Cebu Pacific is already ahead of PAL in regional destinations. Cebu Pacific currently has a 28-per cent share of seat capacity in the Philippines-Southeast Asia international market compared to the PAL’s 23 per cent.

 



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

 

 

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