Font Size

- Aa +

Sun 7 Oct 2012 06:19 PM

Font Size

- Aa +

Etihad says eyeing India, Asia for growth

CEO James Hogan says he is looking to set up one or two more partnerships in Asia

Etihad says eyeing India, Asia for growth
James Hogan, CEO of Etihad Airways.

Etihad Airways, Abu Dhabi's flag carrier which has expanded globally through stake purchases in firms like Air Berlin and Virgin Australia, will look to extend its geographical reach to India and other Asian markets.

The Gulf carrier, in competition with regional rivals Emirates and Qatar Airways, will also look to secure more airline stakes, its chief executive said in an phone interview on Sunday.

"Possibly one or two (partnerships) more and that will be it," said James Hogan when asked about plans to pick up more stakes in other airlines.

Hogan said after its push into Australia with a 10 percent stake in Virgin Australia and Europe with 29.2 percent in Air Berlin and 3 percent in Aer Lingus, the airline will now look for growth in Asia.

"We are very clear that India and Asia represent an opportunity," said Hogan.

He said the airline has been receiving offers from Indian carriers.

"We get a number of options. It has to meet our formula. We are in no rush. We have to make sure that it makes sense from a network, operation and revenue perspective."

India decided to allow foreign airlines to buy stakes of up to 40 percent in local carriers last month, a move that came as a lifeline to the country's debt-ridden carriers.

Ailing Kingfisher Airlines, SpiceJet and Jet Airways are all said to be on a lookout for strategic investors.

Dubai's Emirates has denied plans to buy a stake in any Indian carrier.

Etihad on Sunday reported revenue of $1.3bn in the third quarter, a 19 percent rise year-on-year. Passenger revenue was boosted by code sharing and partnerships - revenues from these two categories jumped 51 per cent to $182mn.

"Over the next 7 to 8 years we are taking another 100 aircraft. So we will also continue to grow organically and continue with our code share agreements," Hogan said.

The airline's 38 partners created a combined network of 315 destinations, more than any other Middle Eastern carrier, Etihad said.

For all the latest transport news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.