Cebu Pacific inks P1.75-B deal to acquire AirSWIFT operator

Gokongwei-led budget carrier Cebu Pacific on Monday said it has inked a P1.75-billion share purchase agreement (SPA) with ALI Capital Corp. to acquire 100% of the shares of boutique airline operator AirSWIFT Transport Inc.

According to Cebu Pacific, there will be no change in the flight schedules and service of AirSWIFT, which operates flights from Manila and Clark to El Nido, Palawan, and from El Nido to Cebu, Boracay, Coron, and Bohol.

Once integrated, Cebu Pacific said it will add El Nido to its routes, with the carrier currently operating flights to 35 domestic and 26 international destinations.

“Cebu Pacific continues to undertake measures to boost connectivity to various Philippine destinations while offering low fares, thus contributing to economic growth and tourism development goals,” Cebu Pacific president and chief commercial officer Xander Lao said in an emailed statement.

“We are excited to play our part in increasing accessibility to local destinations that have high potential and are world renowned for having some of the best beaches in the world,” he added.

Cebu Pacific last week signed a P1.4-trillion aircraft purchase deal for a landmark purchase of 152 aircraft, including 102 Airbus A321neo, and 50 A320 Family, which will be powered by Pratt & Whitney GTF engines.

The company in May said it expects to close the year with 95 aircraft, which will boost its full-year 2024 seat capacity by 12% to 15% compared with 2023.

Meanwhile, AirSWIFT is operated by ALI Capital, which is in turn a wholly-owned subsidiary of Ayala Land Inc. (ALI). The Ayala-led property developer earlier said it is in talks with several airline operators to sell its boutique airline as it focuses on its core business.

“Our investment in AirSWIFT has been a key enabler in the growth of El Nido as a world-class tourist destination. With this transaction, we are hopeful that the expertise of Cebu Pacific will bring lower cost options and greater accessibility to El Nido,” ALI Capital president Alfonso Javier Reyes said. — RSJ, GMA Integrated News