Singapore's Tiger Airways plans to buy a 32.5% stake in Philippine low-cost carrier Seair, following a marketing partnership between the two airlines late last year.
The carrier is purchasing the share from Seair's co-founders Iren Dornier and Nick Gitsis, who will hold a combined 7.5% stake in Seair after the sale.
A majority 60% stake of the airline will still be held by local investors, says a Seair official.
Tiger and Seair signed a marketing partnership last November, which allowed Tiger to market Seair's flights on its website. Seair is also operating Airbus A320 family aircraft leased from Tiger on its international flights.
"Seair has a long history of operating domestic and international services in the Philippines and having Tiger Airways as a shareholder will enable us to significantly expand our network of services," says Seair's president and CEO Avelino Zapanta
Tiger's group CEO Tony Davis says: "We are excited to have the opportunity to expand our relationship with Seair. The
Philippines represents a major market opportunity for low cost airlines."
Source: Air Transport Intelligence news