Thailand’s Really Cool Airlines Sets Sights on Q2 2024 Launch

Thailand’s ambitious Really Cool Airlines (LUV) is gearing up for its inaugural flight operations in the second quarter of 2024, pending crucial certifications and aircraft acquisitions. The airline, led by CEO Patee Sarasin, envisions securing a Civil Aviation Authority of Thailand (CAAT) air operator’s certificate (AOC) in January, paving the way for charter flights between March and May. Additionally, Sarasin has eyes set on an initial public offering (IPO) in the middle of the decade.

In an interview with the Bangkok Post, Sarasin outlined the airline’s strategic timeline. Initial charter flights are projected to connect various destinations from March to May 2024, with scheduled operations to Tokyo, Hong Kong International, Shanghai Pudong, Singapore Changi, and Tbilisi anticipated in the latter half of the year. The airline plans to venture into long-haul flights to Europe in the following year.

Really Cool Airlines has secured THB 1 billion baht (USD 28.4 million) in start-up funding and plans to induct four leased widebody aircraft in 2024. The initial fleet will include two A330-300s, followed by two A350-900s. Although the acquisitions are labeled as “a work in progress” by a company spokesperson, Sarasin remains optimistic about meeting the timeline.

The business plan outlines a profitability target from 2025 onward, a crucial prerequisite for an IPO under Thai law, which demands three consecutive years of profitability. Sarasin, however, aims to expedite the IPO process, seeking to go public in approximately half that time and exploring stock exchange options in different jurisdictions.

Sarasin’s forward-looking strategy also emphasizes revenue diversification, with plans for around 15% of the airline’s overall revenues to come from cargo operations. In the short term, the goal is for 40% of total revenues to originate from sources other than ticket sales, gradually increasing to 50% over time. This diversified approach aims to mitigate risks and safeguard the startup against potential disruptions in the aviation industry.