Singapore Airlines (SIA) has established a new holding company to own and manage its two low-cost carriers, Scoot and Tiger Airways.
The move follows the delisting of Tiger Airways – which operates under the brand name Tigerair – from the Singapore stock exchange.
Lee Lik Hsin, who has led Tigerair since May 2014, will now become CEO of the holding company, which has been registered as Budget Aviation Holdings Pte Ltd. Campbell Wilson, who has been CEO of Scoot since its launch in 2012, will take up a new “senior position” in SIA. Goh Choon Phong, CEO of SIA, will become chairman of the new company.
“The holding company structure will drive a deep integration of our low-cost subsidiaries, which are important parts of our portfolio strategy in which we have investments in both the full-service and budget aspects of the airline business,” said Goh.
“We also recognise the contribution Campbell has made through his leadership of Scoot since its establishment, successfully developing its corporate culture, brand, route network and fleet, and bringing it to profitability in a short time. We look forward to his return to SIA.”
SIA says the holding company structure will allow Scoot and Tiger to integrate in several key areas, such as sales and marketing, IT, planning and operations.