Japan’s ANA takes stake in Vietnam Airlines

TD Guest Writer

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Vietnam Airlines (photo by Vytautas Kielaitis)
Vietnam Airlines (photo by Vytautas Kielaitis)

The ANA Group, which owns Japan’s largest airline, has agreed to acquire a stake in Vietnam Airlines.

The two companies have entered into an agreement that will see ANA pay VND2.43 trillion (US$108 million) for an 8.8% shareholding in Vietnam’s state-owned national carrier.

The move forms part of ANA’s strategy of investing in the fast-growing Southeast Asian aviation sector; in 2013 the company signed a deal to take a 49% stake in Myanmar’s Asian Wings Airways, although this was subsequently cancelled. It has also teamed up with Thailand’s Nok Air to open a pilot training school in Bangkok, having acquired the Pan Am International Flight Academy in 2013.

“Asia is a key growth market for ANA Group as we expand our international footprint, and Vietnam Airlines makes the ideal partner for us because we share the same high standards and approach to customer service and efficiency,” said Shinya Katanozaka, CEO of ANA Holdings. “We look forward to completing this strategic investment and launching our partnership so we can serve our passengers even better.”

Pham Viet Thanh, chairman of Vietnam Airlines, commented; “We appreciate the cooperation with ANA Group to participate in the administration and long-term development of the Vietnam Airlines Corporation.

ANA is Japan's largest airline, in terms of passenger traffic
ANA is Japan’s largest airline, in terms of passenger traffic

“ANA is one of the leading airlines in the region and in the world. The cooperation with ANA Group will help Vietnam Airlines acquire new management technologies, expand the market, improve service quality, increase competitiveness on international markets. I strongly believe this comprehensive cooperation will enhance the value, brand and image of Vietnam Airlines.”

Following the investment, ANA will be given the right to appoint one member to sit on Vietnam Airlines’ board of directors. It will also provide Vietnam Airlines with “operational and management knowhow”, according to a company statement.

Vietnam Airlines currently operates 66 flights weekly on 10 routes between Japan and Vietnam, while ANA flies between the two countries 14 times a week on two routes.

Klook.com

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