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Qantas Airways acquires 30 pct stake in Vietnam’s Pacific Airlines

by Joseph Beale
26/04/2007

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SYDNEY (XFN-ASIA) – Qantas Airways Ltd said it has signed an agreement with the Vietnamese government to purchase a 30 pct stake in Pacific Airlines, Vietnam’s second largest carrier.
Australia’s flag carrier said the stake is expected to be finalized within the next few months.
Qantas chief financial executive Peter Gregg said the investment will support his airline’s budget carrier Jetstar’s growth strategy and enable an extension further into Southeast Asia.
‘Vietnam offers great growth potential for aviation. It has a large and growing domestic market and is increasingly popular as a tourist destination,’ he said.
Gregg said Qantas will work with Pacific Airlines to develop a new business plan for the carrier, which currently operates a fleet of Boeing 737-400 aircraft on domestic routes in Vietnam and international services between Vietnam and Taiwan.
‘Pacific Airlines’ strategy is to reposition itself as a low cost carrier and expand its operation both within Vietnam and internationally,’ he said.
‘We will be actively involved in the ongoing management of the company through board representation and key management appointments,’ Gregg added.

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