Zest Air to announce foreign partner end-Feb
MANILA, Philippines - Zest Air, the Philippines' 4th largest airline, may finalize a deal with a foreign partner before the end of February.
This was confirmed by Zest Air president, former Ambassador Alfredo Yao, on Tuesday, February 19, on the sidelines of the listing of Philippine Business Bank, the group's banking arm.
Zest Asia was earlier reported to be in talks with investors, including Hainan Air of China, AirAsia and Gokongwei-led Cebu Pacific.
It earlier aimed to sell up to 40% stake in the airline by end-2012. Yao had said the foreign partner they will choose should have the financial muscle and the technical expertise.
Foreigners are limited to own oly up to 40% in a local airlines.
The entry of a partner was aimed to help finance the airline’s 5-year refleeting program.
Zest Air, formerly Asian Spirit, is in its 5th year of operation. It has been seen as the most vulnerable in an industry with 5 strong and growing industry players.
However, the Philippines is poised to increase tourist arrivals with targets doubled to 6 million a year by 2016. Airlines have been beefing up their fleet and network to take advantage of the opportunities
Almost 100% of tourists that visit the Philippines arrive by air. - Rappler.com