AirAsia's 40% associate Philippines AirAsia Inc (PAA) has entered into a share swap deal with Zest Air Group whereby it will take up a 49% stake  in  Zest  Airways  and  100%  stake  in  Asiawide  Airways  -  both under  the  Zest  Air  Group  -  which  will  in  turn  take  up  a  15%  stake  in PAA. This deal will see AirAsia maintaining its 40% associate stake but dilute the shareholding of its existing three Philippine partners to 15% each. The deal is still subject to regulatory approvals.

About  Zest  Airways.  Zest  Airways  is  a  low  cost  carrier  based  in  the Philippines that flies to 14 domestic and 10 international destinations from its hubs in Manila, Kalibo and Cebu. It currently operates a fleet of 11 aircraft (10 A320s and one A319) and has 31 aircraft in orders. Zest Airways is the Filipino carrier with the most flights to Kalibo, Aklan, the Philippines.

Source: RHB