Vietjet Rumoured to Be Establishing Australian Subsidiary

[Harrison_133]

Apparently VH-T8A is in the VietJet livery.

 

[Chatswood]

Cherrie Aviation’s CEO does his first interview with the AFR. He also addresses Vietjet’s legal issue, including what will happen if the receivers seize new planes from Boeing’s production line (pick up order books from other airlines, or lease from Thai Vietjet)

Vietjet Australian offshoot Cherrie Aviation plans to start flying from the middle of next year, offering competition to Qantas and Virgin Australia on domestic routes, although new chief executive David May says he doesn’t intend to start a price war.

In his first public comments since taking the job, May, a former marketing boss at Jetstar, said Cherrie would initially target leisure travellers on trunk routes servicing Sydney, Melbourne, Brisbane, the Gold Coast, Sunshine Coast and possibly Cairns.

Vietjet’s Cherrie Aviation reveals plan to take on Qantas, Virgin

In his first interview, the new chief executive of Australia’s new domestic airline says he won’t engage in a price war with the established players.

www.afr.com

 

[Layslow]

What a Bonza idea!

 

[Saab34]

Financial story here seems murky.

Going after the Tiger market share doesn’t really seem logical considering even when TT went through that transformation/turnaround they somewhat became more stable, but barely still made any money. And they had 20 aircraft.

 

[Q Class Plebeian]

Financial story here seems murky.

Going after the Tiger market share doesn’t really seem logical considering even when TT went through that transformation/turnaround they somewhat became more stable, but barely still made any money. And they had 20 aircraft.

Unfortunately, Vietjet Australian plans have hit a significant and costly speed bump .An expensive legal action out the UK. The story is in today's Financial Review, which is behind the paywall.However , the same story is on the Straits Times.

VietJet hit with global asset freeze in dispute with London investment firm FitzWalter

VietJet hit with a global asset freeze in a UK court dispute over a US$250 million debt to London firm FitzWalter Capital. Read more at straitstimes.com.

www.straitstimes.com

 

[Saab34]

That reported weeks back and today’s article mentions they have intend to get around that. Who are the local investors here I wonder?
I still just don’t see why anyone even bothers, would be better ways to make a ROI.

Fancy spending hundreds of million to breakeven then on a small sub fleet make a couple of million tops. I can think of many other more wise investments that would take such capital vs a low cost carrier in Australia.