A business model that is neither a purchase of one company from another, nor an integration, nor a merger, is the one prepared by the airlines Viva Air and Avianca.
SEMANA was able to establish that the signing of an agreement is being prepared so that both companies transport are part of the same holding, implementing a scheme that other airlines in the world have already adopted. This is the case of IAG (International Airlines Group), which has 8 companies under the same umbrella, many of them are famous brands in the world, such as Iberia, IAG Loyalty and British Airways, among others.
Although the signing of the agreement is well advanced and would be announced soon in ColombiaOfficially, the verdict of the authorities is still pending, mainly from the Civil Aeronautics, which is the one that regulates air transport in the country.
It is still unknown what the implications of this agreement would be, since, precisely, the users of the service benefit from the competition. Even more, if Viva Air went on the market with the low-cost format, which, in some way, put pressure on other airlines to establish more competitive prices.
changing companies
There are many changes that Avianca has undergone in recent years and, in particular, following concluding its Chapter 11 or bankruptcy law in the United States, with which it underwent a reorganization process following which it announced that it would transfer your domicile in the UK. The airline reduced the number of aircraft to 109, according to the statistics released following the exit of that business reorganization chapter. In addition, he announced the transformation of the chairs, with more availability for passenger transport, because they are thinner. Sizes in ticket prices were also launched.
Meanwhile, Viva Air has been positioning itself in the transport sector, in the low-cost segment, with an operation of 46 domestic routes in Colombia and Peruand 14 international routes to the United States, Mexico, Peru, the Dominican Republic, Argentina and Brazil.
two experiences
The agreement, then, would be between a young company: Viva Air, which has 10 years of history, through which it has transported more than 31 million passengers, and Avianca, which has been in business for more than 100 years. in the market.
It must be remembered that the number of aircraft that Viva Air has is 22, of the Airbus 320 type.
There are many questions that remain to be resolved and that will surely be addressed, perhaps from this very Friday, the preliminary date scheduled for the official announcement to be made, which will undoubtedly usher in a new era in the country’s air transport. One of them is the way in which the participation in the airline market will be valued, since, until now, Avianca has 45% and Viva Air 20%.
