Thai low-cost carrier Nok Air has signed a joint venture agreement with ANA Holdings to launch the Pan Am International Flight Training Centre (PAIFT).

This agreement adds on to the partnership Pan Am International Flight Academy (PAIFA) has with Assumption University of Thailand to develop a flight simulator centre in Bangkok. The the earlier agreement was sealed in September 2013.

PAIFT will have a capital of $8.3 million, with ANA Holdings to hold the majority stake of 75%. It will also appoint its chief executive, chief financial and chief operating officers. Nok Air and Assumption University will hold the remaining 25%, split on a 15:10 ratio.

The joint venture will start off with one Airbus A320 simulator in September, followed by a Boeing 737NG simulator in January 2015. By April, it will have a total of four simulators, consisting of two A320 and two 737NG simulators.

“Southeast Asia’s aviation market is rapidly expanding and there is a need for highly trained flight crew. Pan Am Thailand will position Thailand as the prime training ground providing the highest quality training for pilots,” says Nok’s chief executive Patee Sarasin. “For Nok Air, the joint venture means that we are able to cut our pilot training costs by up to 50%, and proudly provide world-class flight simulator training in Thailand.”

PAIFA was acquired in August 2013 by ANA Holdings, the parent company of Japanese carrier All Nippon Airways, as part of its new strategy of investing in other aviation-related business.

Source: Cirium Dashboard