AIRASIA is taking a second stab at the LCC market in Japan after its failed partnership with All Nippon Airways (ANA) saw it bow out of the market (TTG Asia e-Daily, June 25, 2013). This time, Rakuten is coming on board as a minority shareholder in the carrier that is expected to be airborne by summer next year.
Rakuten will hold 18 per cent of shares, the third largest stake after AirAsia’s majority stake of 49 per cent, and Octave Japan, which was incorporated in Japan in May with a mission to acquire, own, manage, hold, sell and dispose of the shares of AirAsia Japan as well as make collections from the shares of AirAsia Japan.
Odagiri Yoshinori, CEO of AirAsia Japan, said: “We are ready to take on this challenge and with great teamwork, we hope to bring AirAsia’s successful low-cost business model once again to Japan. Our counterparts in Malaysia, Thailand, Indonesia, the Philippines and India have seen great and encouraging responses in their markets, and we will work towards the same for Japan.”
AirAsia split ways with ANA over differences in management last year, leading to the creation of ANA-owned Vanilla Air (TTG Asia e-Daily, August 21, 2013).
Commented Tony Fernandes, group CEO of AirAsia: “The AirAsia Japan team is now working hard with the relevant authorities to obtain necessary operational approvals, and we hope that all will be in place to start both domestic and international flights by the summer of 2015.”
The remaining shares are held by Noevir Holdings (nine per cent), which has business interests in cosmetics, pharmaceuticals and health food, apparel and aviation business; and Alpen (five per cent), which makes and sells sporting goods and manages ski resorts, golf courses and fitness clubs.
