Tigerair and Cebu Pacific, the largest budget carriers based in Singapore and the Philippines respectively, have announced plans to enter into a strategic alliance. Both parties will collaborate commercially and operationally on international and domestic air routes from the Philippines, thereby creating the biggest network of flights to the region.

Cebu Pacific will acquire 100% ownership of Tigerair Philippines, including the 40% stake of Tigerair. Tigerair Philippines currently operates an average of 118 flights per week with five aircraft to 11 domestic and international destinations, from its bases in Manila and Clark.

Cebu Pacific currently operates an average of 2,200 flights per week with 48 aircraft to 24 international and 33 Philippine cities in its network.

By combining their resources, Cebu Pacific will be able to provide services to high growth markets including Australia and India. Tigerair will be able to fly more passengers to additional cities in Cebu Pacific’s extensive network in the Philippines and North Asia. This arrangement will allow both airlines to deploy capital more efficiently.

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