Tiger Airways fully utilises funds from IPO, rights issue

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Tiger Airways Holdings has utilised all the proceeds from its initial public offering and rights issue, with the last remaining funds spent on aircraft acquisitions and investment in a new airline joint venture.

Tiger raised Singapore dollars (S$) 233 million ($189 million) from its January 2010 IPO and S$158 million from a rights issue in November 2011.

The low-cost carrier said in a filing on the Singapore Stock Exchange that around S$9 million has been invested in a joint venture carrier, understood to be Philippine affiliate Seair, while a further S$58.8 million has been used to fund aircraft acquisition and pre-delivery payments.

In previous disclosures, the airline had said that most of the funds raised from the IPO and rights issues were used for its fleet expansion.

Flightglobal's Ascend Online database shows that across Tiger's operating carriers - Tiger Airways, Tiger Airways Australia, Seair and Indonesian affiliate Mandala Airlines - the group operates 40 Airbus A320s and two A319s.

Tiger has 26 A320s on order and is scheduled to receive 12 aircraft in 2013.