ANA cancels plan to buy Asian Wings shares

ANA cancels plan to buy Asian Wings shares

Published on Sunday, 03 August 2014 04:14

Japan's All Nippon Airways has backtracked from buying 49 per cent equity stakes in Myanmar's Asian Wings, according to the ANA statement.

"Competition between new and old airlines in Myanmar has intensified, bringing rapid changes in the external environment and calling into question the assumptions made at the time of the original decision," said the statement, justifying the cancellation.
Asian Wings spokesperson said although the shares purchase agreement was already sealed, the ANA later carried out a market analysis before the cancellation.

"ANA did a thorough analysis on the current situation of the local airlines, market share and market competition. Afterward, it decided not to enter the Myanmar market," said Lwin Moe, managing director of Asian Wings.

Under the plan, ANA and Asian Wings would form a joint venture at the equity ratio of 49 to 51 per cent.

http://www.information.myanmaronlinecentre.com/ana-cancels-plan-to-buy-asian-wings-shares/