Cebu Pacific Air is eyeing the acquisition of Tigerair Philippines amid expansion plans and consolidation among local carriers, according to Philippine Flight Network.
Civil Aeronautics Board Executive Director Carmelo Arcilla confirmed to the Philippine Daily Inquirer that Cebu Pacific may end up taking 100% of Tigerair Philippines in the event that a deal is approved. However, the proposed transaction would be subject to several regulatory approvals from the Civil Aeronautics Board and the Securities and Exchange Commission, the report explained.
Tigerair Philippines is currently operated by Southeast Asian Airlines, which is a joint venture that is 40% owned by Roar Aviation II Pte Ltd representing parent firm Tiger Air Singapore. The remaining 60% stake is held by a local investor group led by Tomas B. Lopez, the report detailed.
Cebu Pacific is anxious to push its expansion in the Philippine market in the middle of tough competition from rival carrier Philippine Airlines (PAL). AirAsia Zest is also an emerging competitor for the budget carrier, Philippine Flight Network reported.
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