All Nippon Airways' preparations to launch a low cost carrier (LCC) in 12 months received a boost yesterday with confirmation Innovation Network Corporation of Japan (INCJ) has invested JPY10 million (USD120,176) to acquire a 33.3% stake in the A&F Aviation Co Ltd venture.
A director from INCJ will sit on the board of A&F Aviation as an external board member to support A&F Aviation across its business. A&F Aviation expects to raise about JPY15 billion yen additionally within the fiscal year ending in Mar-2012, by which the company hopes to officially launch the airline. INCJ also has an option to make an additional investment. As of 31-Mar-2011, ANA, First Eastern, and INCJ hold 33.4%, 33.3%, and 33.3% of the company’s shares, respectively.
A&F Aviation CEO, Shinichi Inoue, said: "This financial and operational support from INCJ is an important step toward the launch of A&F Aviation.“We aim to become a cultural bridge between Japan and the rest of Asia, triggering an economic growth in Japan and across Asia.
Selected LCC daily share price movements (% change): 1-Apr-2011
Want more analysis like this? CAPA Membership gives you access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find out more and take a free trial.