AirAsia acquires 49 percent of Zest Air

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MANILA, Philippines – Philippines’ AirAsia (PAA) Incorporated on Monday said that it has acquired 49 percent of local budget carrier Zest Airways, Incorporated in a strategic alliance envisioned to strengthen their operations in both Clark International Airport and Ninoy Aquino International Airport.

In a statement, Philippines’ AirAsia CEO Marianne Hontiveros said that the “strategic alliance” between the two budget carriers would “complement the strategies for future growth of PAA (Philippines’ AirAsia), which currently operates out of Clark.”

PAA entered into a strategic alliance agreement with Ambassador Alfredo Yao, the majority shareholder of Zest Airways Inc. And Asiawide Airways Incorporated.

Hontiveros said that the investment in the Zest Group will allow Philippines’ AirAsia to “leverage on our respective strengths, which in the case of Zest Air, include its operations out of the Ninoy Aquino International Airport.”

Zest Air will get a 15 percent stake in Philippines’ Air Asia.

Zest Air operates 11 aircraft on 10 domestic and 10 international routes. It has hubs in Manila, Kalibo and Cebu in the central Philippines, which are major tourist destinations.

Malaysia-based AirAsia started operations in the Philippines in 2012 from Clark airport, a 2-3 hour drive from the capital, while Zest Air operates from Ninoy Aquino International Airport in Manila. AirAsia’s routes from Clark include Kuala Lumpur, Hong Kong, Singapore, Taipei and Kalibo and Davao in the Philippines.

The joint venture would allow both carriers to “widen the choice of low cost travel within the Philippines and the region,” said Yao. With a report from AP

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  • http://www.facebook.com/profile.php?id=100003516764413 Jean Claude

    Imagine if we dont have a 60-40 foreign ownership rule, Air Asia would have just bought Zest Air than just taking a 49 percent stake in it. 

  • https://me.yahoo.com/a/gviJLb54mfyqsqmf6fmM2QWPzBSC0vwT#6b07d BILATKUSGAN

    JUNK AIR ASIA, ITS OWNED BY A MALAYSIAN MULTI MILLIONAIRE. SEARCH PO NINYO.

    I BAGSAK ANG BUSINESS VENTURES NG MALAYSIA !

    AirAsia Berhad (MYX: 5099) is a Malaysian low-cost airline headquartered in Kuala Lumpur. It is Asia’s largest low-fare, no-frills airline and a pioneer of low-cost travel in Asia.[4] AirAsia group operates scheduled domestic and international flights to over 400 destinations spanning 25 countries. Its main hub is the Low-Cost Carrier Terminal (LCCT) at Kuala Lumpur International Airport (KLIA)

  • kilabot

    explains why noykapon can’t antagonize malaysia re:sabah.

    • http://www.facebook.com/profile.php?id=100003516764413 Jean Claude

      for what purpose?

  • pubringjuandelacruz

    I hope Air Asia would junk all planes of Zest Air… Its like flying in a coffin with the Zest Air.

    • http://pulse.yahoo.com/_JEMNLLYAP5EA7SM3A6QUOGV62Q Chris

      which planes are you referring to? FYI Zest air A320s are new.

      • http://twitter.com/bigg_dawg big dawg

        pagbigyan mo na, ganun tlga ang pangkaraniwang juan de la cruz,  tan-G.A.

    • outsidersnake

       i beg to disagree to that statement, nothing wrong with the planes , there only problem is that they are never on time, by the way, I am an aviation engineer

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