Royal Group Says Cambodia Air Still on Track
Local conglomerate Royal Group has denied that its join venture with Philippine Airlines (PAL) to create Cambodia’s second national carrier has stalled, despite recent remarks by PAL’s president that his company has delayed its investment due to the current political tension here. On Thursday, PAL’s president and chief operating officer, Ramon Ang, told Philippine media that PAL would delay its investment in Cambodia Air because of the country’s ongoing political uncertainty. ... Last April, San Miguel Corp., which owns PAL, signed a deal to invest $10 million for a 49 percent stake in Inter Logistics (Cambodia) Co. Ltd., which is the subsidiary through which Royal Group owns Cambodia Air. The deal was expected to close in October after being delayed from July, and PAL was expected to pay 10 percent on closing. With PAL, the airline planned to offer direct flights from Phnom Penh to Manila, as well as more domestic flights. At last year’s signing ceremony, a Royal Group official said the company expected flights to begin by October. ...
Joshua Wilwohl
http://www.cambodiadaily.com/business/royal-group-says-cambodia-air-still-on-track-51082/
