Golden Dragon Airlines
It may be through Hong Kong Express soon, Stanley Ho has bought an 80% share
The family of casino tycoon Stanley Ho plans to buy an 80 percent stake in Golden Dragon Airlines, taking control of the 12-year-old carrier that plans to start flights from Macau to the mainland by next year, said an industry source.
Ho will hold the stake through his helicopter firm, East Asia Airlines, and manage the carrier through his budget airline start-up, Hong Kong Express, said the source.
Lam Kuo, founder of Golden Dragon, will retain a 20 percent stake.
``Ho and Lam have been good friends for a long time and both are upbeat about the outlook for Macau,'' said Lam's personal assistant, Helen Ko. She declined to comment on Ho's investment in the company.
Macau has seen tourism boom since liberalizing the gambling industry in 2002. The city's economy grew 8.5 percent in the first quarter, thanks to a 19 percent increase in visitor arrivals.
Air Macau, the only airline based in the city so far, is in talks with Shun Tak Holdings, a Hong Kong-based developer also controlled by Ho's family, to set up a budget airline, despite Australia's Virgin Blue quitting talks.
Another start-up, Wow Macau, which is in negotiations with Air Macau for a sub-concession license, will probably reach a deal over the next three to four weeks, said chief executive Andrew Pyne.
Golden Dragon, founded in May 1993 and with small operations in the mainland, has been granted rights to fly from Macau to eight cities across the border, including Guangzhou and Nanning, as well as Hanoi in Vietnam and Vietiane in Laos, sources said earlier.
Ho and Lam are still in talks on the airline's valuation, so there is no price tag on the Golden Dragon stake, said the source.
The airline's investment in the first two years will be 160 million patacas, said Ko, adding that Golden Dragon will launch the first service from Macau to the mainland by the end of next year. It will have 200 staff initially.
Meanwhile, Stephen Miller, managing director of Hong Kong-based budget carrier Oasis Hong Kong Airlines, said the company obtained the required endorsement document from the Air Transport Licensing Authority last Friday.
Another article that may be of interest:
June 16, 2005
Golden Dragon, one of three start-up airlines in Macau, has won regulatory approval to fly to 10 destinations, after agreeing with the Macau government to largely avoid routes offered by Air Macau\'s new budget airline and Hong Kong Dragon Airlines.
Golden Dragon received rights to fly to mainland cities Nanning, Shijiazhuang, Nanchung, Zhengzhou, Jinan, Changsha, Guangzhou and Hohhot, as well as Hanoi in Vietnam and Vientiane in Laos, said an industry source.
The approvals came after it reached a sub-concession license agreement with Air Macau to operate from the city. Sources earlier said tycoon Stanley Ho\'s helicopter unit, East Asia Airlines, will take a majority stake in Golden Dragon after the sub-concession talks.
``Golden Dragon only has three destinations overlapping with Dragonair\'s existing ones, reflecting the government\'s arrangements during the negotiations,\'\' said the source.
Dragonair and Air Macau are controlled by China National Aviation Corp. Golden Dragon\'s approved destinations also largely avoid competition with Hong Kong Express, a Hong Kong-based budget airline also controlled by Ho, which has been granted rights to fly to Guangzhou, Hangzhou, Nanjing, Chongqing and Ningbo.
``Both companies will not complete with each other,\'\' said Hong Kong Express chief executive Andrew Tse.
Golden Dragon will need to invest 160 million patacas (HK$155.3 million) to develop the business and pay 10 percent of total investment to the Macau government for the license. It will lease two 75-seat Embraer aircraft this year and plans to schedule flights next year, said the source. ``Golden Dragon will act as a regional airline in the future, not a low-cost carrier,\'\' he said.
Macau is an attractive base for budget carriers because of its low airport charges and the rosy outlook for its gaming-led tourism sector.
http://www.thestandard.com.hk/stdn/s.../GF16Ae03.html
The family of casino tycoon Stanley Ho plans to buy an 80 percent stake in Golden Dragon Airlines, taking control of the 12-year-old carrier that plans to start flights from Macau to the mainland by next year, said an industry source.
Ho will hold the stake through his helicopter firm, East Asia Airlines, and manage the carrier through his budget airline start-up, Hong Kong Express, said the source.
Lam Kuo, founder of Golden Dragon, will retain a 20 percent stake.
``Ho and Lam have been good friends for a long time and both are upbeat about the outlook for Macau,'' said Lam's personal assistant, Helen Ko. She declined to comment on Ho's investment in the company.
Macau has seen tourism boom since liberalizing the gambling industry in 2002. The city's economy grew 8.5 percent in the first quarter, thanks to a 19 percent increase in visitor arrivals.
Air Macau, the only airline based in the city so far, is in talks with Shun Tak Holdings, a Hong Kong-based developer also controlled by Ho's family, to set up a budget airline, despite Australia's Virgin Blue quitting talks.
Another start-up, Wow Macau, which is in negotiations with Air Macau for a sub-concession license, will probably reach a deal over the next three to four weeks, said chief executive Andrew Pyne.
Golden Dragon, founded in May 1993 and with small operations in the mainland, has been granted rights to fly from Macau to eight cities across the border, including Guangzhou and Nanning, as well as Hanoi in Vietnam and Vietiane in Laos, sources said earlier.
Ho and Lam are still in talks on the airline's valuation, so there is no price tag on the Golden Dragon stake, said the source.
The airline's investment in the first two years will be 160 million patacas, said Ko, adding that Golden Dragon will launch the first service from Macau to the mainland by the end of next year. It will have 200 staff initially.
Meanwhile, Stephen Miller, managing director of Hong Kong-based budget carrier Oasis Hong Kong Airlines, said the company obtained the required endorsement document from the Air Transport Licensing Authority last Friday.
Another article that may be of interest:
June 16, 2005
Golden Dragon, one of three start-up airlines in Macau, has won regulatory approval to fly to 10 destinations, after agreeing with the Macau government to largely avoid routes offered by Air Macau\'s new budget airline and Hong Kong Dragon Airlines.
Golden Dragon received rights to fly to mainland cities Nanning, Shijiazhuang, Nanchung, Zhengzhou, Jinan, Changsha, Guangzhou and Hohhot, as well as Hanoi in Vietnam and Vientiane in Laos, said an industry source.
The approvals came after it reached a sub-concession license agreement with Air Macau to operate from the city. Sources earlier said tycoon Stanley Ho\'s helicopter unit, East Asia Airlines, will take a majority stake in Golden Dragon after the sub-concession talks.
``Golden Dragon only has three destinations overlapping with Dragonair\'s existing ones, reflecting the government\'s arrangements during the negotiations,\'\' said the source.
Dragonair and Air Macau are controlled by China National Aviation Corp. Golden Dragon\'s approved destinations also largely avoid competition with Hong Kong Express, a Hong Kong-based budget airline also controlled by Ho, which has been granted rights to fly to Guangzhou, Hangzhou, Nanjing, Chongqing and Ningbo.
``Both companies will not complete with each other,\'\' said Hong Kong Express chief executive Andrew Tse.
Golden Dragon will need to invest 160 million patacas (HK$155.3 million) to develop the business and pay 10 percent of total investment to the Macau government for the license. It will lease two 75-seat Embraer aircraft this year and plans to schedule flights next year, said the source. ``Golden Dragon will act as a regional airline in the future, not a low-cost carrier,\'\' he said.
Macau is an attractive base for budget carriers because of its low airport charges and the rosy outlook for its gaming-led tourism sector.
http://www.thestandard.com.hk/stdn/s.../GF16Ae03.html
