Singapore clears CebuPac-Tiger alliance

The Competition Commission of Singapore has approved the strategic alliance between Cebu Pacific and Tiger Airways Holdings Ltd. that aims to strengthen the network of two airlines in Southeast Asia.

 “CEB’s strategic alliance with Tigerair allows both carriers to leverage on each other’s strengths and complementary networks. CEB offers the largest and most extensive network in the Philippines and Tigerair has an established network in South East Asia and India,” Cebu Pacific president and chief executive Lance Gokongwei said.

“With the clearance from CCS, our customers can enjoy more options and seamless travel connections,” he said.

Tigerair chief executive Lee Lik Hsin said Tigerair was working closely with Cebu Pacific in areas such as the interline agreement.

“Going forward, we will look in greater depth on how we can combine both our resources to provide even greater connectivity, convenience and value to our customers,” Hsin said.

Cebu Pacific and Tigerair have an existing interline cooperation as part of the alliance and the CCS approval allows both airlines to build upon the current arrangements.

With both carriers operating complementary networks, the strategic alliance provides greater connectivity to travelers.  Cebu Pacific’s passengers, particularly from the Philippines, will be able to enjoy seamless connections onto Tigerair’s established network in South East Asia and India. 

Tigerair’s customers, on the other hand, will be able to select from Cebu Pacific’s extensive network in the Philippines and North Asia. 

The approval by the CCS creates greater potential for closer coordination on sales and schedules on relevant routes, which will offer customers more flight options at good value. 

Cebu Pacific acquired 100 percent of Tigerair Philippines in 2014,  including the 40-percent stake of Tiger Airways owned by Roar Aviation II Pte Ltd.

The transaction was valued at $15 million. Cebu Pacific earlier rebranded Tigerair Philippines into “Cebgo” to  reflect its acquisition by Cebu Pacific.

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