Romero Sell AirAsia Philippines to Fernandes


5 June 2023

Philippine low cost carrier Philippines AirAsia (AirAsia) was formally sold to its parent company AirAsia Aviation Ltd. of Malaysia, controlled by business magnate Tony Fernandes for an undisclosed amount.

Philippines AirAsia (Z2), formerly known as Zest Air prior to merger with AirAsia Philippines (AAP), was controlled by F&S Holdings Inc., of Michael Romero, holding 60% share of the company, divided between Antonio Cojuanco (20%), Romero (20%) and Marianne Hontiveros (20%), while 40% was held by Capital A, formerly AirAsia Group, controlled by Malaysian magnate Tony Fernandes.

The 60% share was sold to Tony Fernandes controlled company AirAsia Com Travel (AA Com Travel Phils. Inc.), a subsidiary of AirAsia Aviation Ltd., holding company of Capital A, which owns the 40% equity share of PAA, making Tony Fernandes the sole owner of AirAsia in the Philippines.

The sale was approved by the Philippine Competition Commission (PCC) this month after the Philippine government lifted restriction to foreign ownership of airlines under the new Public Service Act (RA 11659) approved by President Rodrigo Duterte in March 21, 2022. The law took effect beginning April 1, 2023.

AirAsia operates flight to and from Manila to Puerto Princesa, Bacolod, Iloilo, Tacloban, Kalibo, Caticlan, Cebu, Tagbilaran, Cagayan de Oro, Davao, and Zamboanga. It also operates hub in Clark and Cebu using a fleet of 20 Airbus A320 aircraft as of June 1, 2023 for its domestic and international operations which includes flights to Bangkok, Singapore, Taipei, Osaka, Seoul, Hong Kong, Tokyo and Bali.

Tony Fernandes said he intends to grow the fleet to its Philippine branch to 30 Airbus A320 aircraft at the end of this year. He also proposes to introduce two (2) widebody A330 aircraft for its domestic and international operations in Cebu and Davao from its hub in Manila, as well as to international flights to Bangkok, Seoul, and Hong Kong for introduction next year.     

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