The Cathay Pacific Group has completed its acquisition of Hong Kong Express Airways (HK Express). In a statement the Hong Kong-based carrier said HK Express is now a wholly owned subsidiary but will continue to operate as a standalone low-cost carrier (LCC).
Rupert Hogg, CEO of Cathay Pacific and chairman of HK Express, 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 the Cathay Pacific Group, and good for the development of Hong Kong as a global aviation hub.”
Hogg added: “I would also like to reassure HK Express customers that there is no change to the airline’s operating model and that business will continue as usual. There will be more value fares and more destinations available to travellers.”
The Cathay chief also said the acquisition is an “attractive and practical” way for the Cathay Pacific Group to develop and grow its aviation business over the long term, while also enhancing the competitiveness of its home base as a leading aviation hub.
Cathay Pacific announced its intention to purchase HK Express earlier this year in March after reporting that it had returned to profit following two years in the red. HK Express, formerly a subsidiary of HNA Group, is Hong Kong’s only low-cost carrier as well as a founding member of the U-fly Alliance, the world’s first LCC alliance.