Oasis Hong Kong Airlines (Oasis) announced today that it has
secured a US$30 million investment from the Funds’ under management of Value Partners Limited and its affiliates. The funds will be used for aircraft acquisition and the expansion of Oasis’ route network. Commenting on the investment, Dr. Raymond Lee, Chairman of Oasis said: “We are very pleased to join hands with the Funds’ under management of Value Partners Limited and its affiliates as our new strategic investor. Value Partners represents the ideal investment partner because of their highly successful track record in the region. We are confident that Value Partners will bring significant value to Oasis as we embark on the next phase of expansion.
“Our agreement enables Oasis to further strengthen Hong Kong’s leading position as an international hub, while tapping the enormous growth in the Chinese market.”
At present Oasis flies direct from Hong Kong, to Londonand Vancouver. The Hong Kong SAR Government has already granted Oasis licenses to the following cities which include San Francisco, Chicago, Cologne, Berlin, Milanand Sydney.
Oasis currently operates three Boeing 747-400s with another one due by the end of the year, and a fifth aircraft in early 2008. The investment by Value Partners will assist the airline in realising its plan to operate 14 Boeing 747 aircraft over a proposed 8 routes by 2011.
Value Partners Limited is an asset management firm that consistently uses disciplined value investing in the Asia Pacific region, with a focus on the Greater China area. Under the leadership of Mr Cheah Cheng Hye, the company’s co-founder, Chairman and Chief Investment Officer, the Group has established one of the most successful investment management teams in the Greater China region, focusing its resources on performance delivery, not just the accumulation of assets.
Referring to the investment, Mr Cheah said: “The vision of Oasis for high quality, affordable long-haul travel has proven very successful and the projections for the continued growth in air travel, particularly in Asia, mean we are very optimistic about the future development of Oasis. Access to deals with this much potential are few and far between.”
Both companies are buoyant about the future as Oasis is already on track to meet its initial three year turnover forecasts and as it aims for an IPO.