April 04, 2013

PAL, Royal Group of Cambodia form international airline venture


National flag carrier Philippine Airlines (PAL), a joint venture between taipan Lucio Tan and diversified conglomerate San Miguel Corp. (SMC), has tied up with the Royal Group of Cambodia (RGC) to establish its first international airline venture known as Cambodia Airlines.

PAL would own a 49-percent stake in Cambodia Airlines while RGC chaired by Neak Oknha Kith Meng would control the airline with a 51-percent interest.

Aviation magazine Routes News quoted Kith Meng as saying that the new airline is looking to capitalize on Cambodia’s rapidly growing economy and air traffic numbers, as well as on the dynamic ASEAN region, which has plans for an integrated economic community by 2015.