House okays sale of ZestAir to AirAsia

By Jess Diaz, The Philippine Star

Posted at Feb 18 2014 06:57 AM | Updated as of Feb 18 2014 02:57 PM

MANILA, Philippines - The House of Representatives has approved the sale of Zest Airways to Air Asia Philippines.

Under Republic Act No. 9183, the law that granted Zest Airways a franchise to establish, operate and maintain domestic and international air transport services, any change in the carrier’s ownership has to be approved by Congress.

The go-signal of the House on the sale is contained in Joint Resolution No. 10, which has been sent to the Senate for its own approval.

Copies of the resolution were furnished Zest Airways and AirAsia Philippines.

Businessman Alfredo Yao of Zest-O drinks formerly controlled ZestAir.

Under the deal between Zest Airways and Air Asia Philippines, Yao reportedly received $16 million and a 13-percent share of Air Asia Philippines.

Tony Fernandes of budget carrier AirAsia owns 40 percent of Air Asia Philippines. His Filipino partners include Antonio Cojuangco Jr., Maan Hontiveros and Michael Romero.

Yao became a part owner with Air Asia Philippines’ acquisition of his Zest Airways.

Air Asia Philippines is based at the Clark Freeport in Angeles City.