Tiger Airways takes 33% stake in Mandala

Singapore-based budget airline Tiger Airways has purchased a one third stake of Indonesia’s Mandala Airlines , which halted operations in January for financial restructuring.


Tiger Airways takes 33% stake in Mandala


Singapore-based budget airline Tiger Airways has purchased a one third stake of Indonesia’s Mandala Airlines , which halted operations in January for financial restructuring. Indonesian investment company Saratoga Group holds 51.3 per cent, with the remaining 15.7 per cent held by Mandala’s other shareholders and creditors. Mandala, which began operations in 1969, is now waiting for the Indonesian government to remove a flight suspension imposed after the airline halted operation due to a Rp 2.45 trillion (US$286 million) debt, which has now been restructured.

The low cost carrier operated a fleet of eight A320 family aircraft with scheduled services to three international and 17 domestic destinations. The carrier will continue to operate to destinations using five A320s on routes within a five-hour radius of Jakarta and will likely be rebranded Tiger Mandala. Tiger Airways, part-owned by Singapore Airlines, operates a fleet of 22 A320s with 37 additional aircraft currently on order.