Philippines’ AirSWIFT Confirms Sale Talks with Multiple Airlines, Including Cebu Pacific

Philippines-based boutique airline AirSWIFT (T6, Manila Ninoy Aquino International) has confirmed that it is in discussions with several potential buyers, including Cebu Pacific Air. The airline’s current owner, Ayala Land, revealed that while Cebu Pacific is one of the contenders, it is not the only one, as multiple airlines have expressed interest in acquiring the company.

Mariana Zobel de Ayala, executive director at Ayala Land, provided insight into the ongoing discussions in an interview with Manila-based media outlets. She confirmed that although negotiations with Cebu Pacific are the most advanced, talks are not limited to a single airline. “The discussions are not exclusive,” said de Ayala. “We are entertaining several [offers]. I guess what came out in the news is our discussions with Cebu Pacific. When we started this process, our objective was to determine what would deliver the best customer experience, so we thought it would be wise to cast a wide net.”

Reports surfaced earlier this month that Cebu Pacific had entered into discussions with Ayala Land to potentially acquire AirSWIFT. Cebu Pacific later confirmed these talks but emphasized that the discussions were purely exploratory, with no formal agreements reached at this stage.

While de Ayala did not disclose the names of other interested parties, she hinted that the negotiations were primarily with local airlines. “There are only so many local airlines,” she remarked, implying that the pool of potential buyers is somewhat limited. However, she acknowledged that the discussions with Cebu Pacific were the furthest along in the process. “Right now, we are progressing with our talks with Cebu Pacific,” she added.

AirSWIFT, which operates a fleet consisting of two ATR42-600s and three ATR72-600s, was initially launched to provide air services to El Nido, a luxury resort destination owned by Ayala-affiliated company El Nido Resorts. Over the years, the airline has expanded its services to offer both scheduled and non-scheduled passenger flights to a range of destinations within the Philippines.

Despite the airline’s growth, Ayala Land is looking to divest from AirSWIFT as running an airline falls outside its core business operations. However, de Ayala indicated that the company is still evaluating whether to sell the entire stake in AirSWIFT or just a portion of it. “We are still undecided whether we will sell some or all of our stake,” she explained, leaving room for flexibility in the potential deal.

With Cebu Pacific’s growing interest in expanding its footprint and AirSWIFT’s strategic positioning in the domestic market, the possible acquisition could create synergies for both airlines. Cebu Pacific, one of the largest low-cost carriers in Southeast Asia, could leverage AirSWIFT’s niche services and fleet to bolster its own offerings in the Philippines’ competitive aviation sector.

As negotiations continue, Ayala Land remains focused on ensuring that any potential buyer will align with its goal of providing an enhanced travel experience for customers. The final decision will depend on which suitor offers the best fit for the airline’s future direction, de Ayala emphasized.

The outcome of these discussions will not only determine the future ownership of AirSWIFT but could also impact the dynamics of the Philippines’ aviation market, as Cebu Pacific looks to strengthen its domestic presence while other interested parties vie for a stake in the growing airline.

Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com