Tiger sells its stake in loss-making Philippine unit for US$7m

It strikes strategic alliance with buyer Cebu Pacific

TIGER Airways has confirmed that it is divesting its 40 per cent stake in loss-making Tigerair Philippines to the Philippines' biggest budget carrier, Cebu Pacific, for US$7 million.

Assuming that the proposed sale had been completed on Sept 30, 2013, the estimated net loss is expected to be around $13.5 million, Tiger said in a release to the Singapore Exchange yesterday. In addition to Tiger's stake, Cebu Pacific will acquire the remaining 60 per cent in Southeast Asian Airlines (SEAir) - as the carrier was known before it was rebranded Tigerair Philippines - for US$8 million. The 60 per cent stake is held by Filipino Tomas B Lopez and other shareholders.

Tiger's wholly owned subsidiary, Roar...

BT is now on Telegram!

For daily updates on weekdays and specially selected content for the weekend. Subscribe to