PAL still keen on Cambodia Air venture
FLAG carrier Philippine Airlines (PAL) has not lost its interest in pursuing a joint-venture agreement with Royal Group of Cambodia (RGC) to establish Cambodia Airlines Co. Ltd. PAL President Ramon S. Ang confirmed that his airline’s discussions for investment in the Cambodian carrier are ongoing, as he noted that delays were caused by the political issues hounding Cambodia earlier this year. “It was just delayed by a bit because of the ongoing events there,” Ang said. The airline was supposed to finalize the planned joint venture with Inter Logistics (Cambodia) Co. Ltd. (ILC) on July 15, 2013. This was later moved to October 15. But the signing didn’t happen as elections took place in Cambodia. PAL expects to pour in $10 million for a 49-percent stake in Cambodia Air, which is currently 100-percent owned by ILC. RGC’s Neak Oknha Kith Meng, in turn, owns ILC. The flag carrier was prepared to make a $1-million downpayment upon completion of closing conditions last year. The remaining $9 million would be paid upon a call option by the board of Cambodia Air. …
Lorenz S. Marasigan
http://www.businessmirror.com.ph/index.php/en/business/companies/32817-pal-still-keen-on-cambodia-air-venture
