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News 25/07/2005   

Qantas confirms Jetstar-Valuair merger
Byline goes here
 
Qantas has confirmed that the Jetstar Asia will effectively take over Singapore-based low-cost rival Valuair.

The two companies will come together to form a new Singaporean-based company that will own and operate both airlines.

Qantas ceo Geoff Dixon will chair the new company, while Jetstar Asia ceo Ken Ryan will become ceo of both Valuair and Jetstar Asia.

As reported, Qantas will provide most of the capital for the new entity.

The size of the capital injection remains unknown.

Qantas issued a statement last night in which Dixon said Jetstar Asia and Valuair "would operate in their own right for the foreseeable future, with little or no change to the service offered by either airline".

Qantas owns 49 per cent of Jetstar Asia. Singapore government-owned investment company, Temasek, and two Singaporean businessmen hold the remaining shares.

Valuair’s shareholders include cruise operator Star Cruises and Asiatravel.com.

25 July 2005


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