Posted on: 22 July 2019 by Glenn Sands
On July 19, Cathay Pacific announced that it has completed the acquisition of Hong Kong Express Airways. Although it is now owned by the airline, HK Express is to remain a stand-alone LCC which will serve a niche market.
Cathay Pacific’s CEO and HK Express chairman Rupert Hogg said: “We are very excited to welcome HK Express into the group. We strongly believe that the acquisition is good for the travelling public, good for HK Express, good for the Cathay Pacific Group, and good for the development of Hong Kong as a global aviation hub.
“HK Express will continue to operate as a stand-alone airline using the LLC business model. I would also like to reassure HK Express customers that there is no change in the airline’s operating model and that business will continue as usual. There will be more value fares and more destinations available to travellers.
“We look forward to working with the HK Express teams to ensure a smooth transition and to continue to grow the airline in order to better serve its customers.”
Ronald Lam will head the HK Express team as CEO and had previously worked with Cathay Pacific Group and HAECO for more than 20 years.
Hogg explained: “Our respective businesses and business models are largely complementary. HK Express captures a unique market segment that, together with extensive network offered by the Cathay Pacific Group, could multiply connection opportunities through Hong Kong. This will being tremendous benefits to the travelling public with more choices and greater convenience for their travel experience.”