NEWS RELEASE
For Immediate Release 14 December 2016
Tiger Airways Holdings Divests Stake in Tigerair Taiwan Divestment in line with focus on brand integration with Scoot Brand franchise agreements re-negotiated
Roar Aviation III Pte Ltd, a wholly-owned subsidiary of Tiger Airways Holdings Limited (“Tigerair”), has entered into an agreement to sell its 10% stake in Tigerair Taiwan to China Airlines Limited (“China Airlines”).
As part of the divestment agreement, Tigerair Taiwan will cease to use the Tigerair website as its sales and distribution platform, within 12 months of the divestment. The terms of this divestment are confidential.
“Notwithstanding the divestment of Tigerair Taiwan, we will maintain an active presence in Taiwan with the combined network of Scoot and Tigerair,” said Lee Lik Hsin, CEO of Budget Aviation Holdings (“BAH”), which owns and manages Tigerair and Scoot.
The divestment follows a recent announcement by BAH of its intention to operate Tigerair and Scoot under a common “Scoot” brand and a common operating license by the second half of 2017.
Along with the divestment, Tigerair has re-negotiated the brand franchise agreement with Tigerair Taiwan, and also separately re-negotiated the brand franchise agreement with Tigerair Australia.
The divestment is expected to conclude by the first quarter of 2017. The divestment is not expected to have any material financial impact on the consolidated net tangible assets or earnings per share of the Singapore Airlines group of companies for the financial year ending 31 March 2017.
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About Budget Aviation Holdings Budget Aviation Holdings (“BAH”), a wholly-owned subsidiary of Singapore Airlines Group (“SIA”) formed in 2016, owns and manages SIA’s low-cost carriers (“LCCs”) Scoot and Tigerair. Scoot and Tigerair offer a combined network of 59 destinations over 16 countries across the Asia Pacific, with Scoot operating an all-787 Dreamliner fleet to medium-to-long- haul destinations and Tigerair offering short-to-medium-haul flights on its Airbus A320-family aircraft from Singapore. Both airlines are part of Value Alliance, the world’s first pan-regional low-cost carrier alliance. Together, Scoot and Tigerair offer travellers exciting travel possibilities at exceptional value, while ensuring the highest standards of safety and reliability. Book your tickets at www.flyscoot.com and www.tigerair.com
Media Contact Dawn Sin, email: [email protected], tel: +65 9652 6052