ANA will seek new investments after Vietnam stake, chief says

ANA is considering further investments around Asia as it seeks to reduce its reliance on a slow-growing domestic market, according to its CE, Shinya Katanozaka. ANA took an 8.8% stake in Vietnam Airlines this year, the company’s first investment in an international partner. The move, completed in May, followed prolonged speculation linking ANA to other foreign airlines. The company had examined the experience of Abu Dhabi’s Etihad in building stakes in other airlines with an eye to look for other opportunities, said Mr Katanozaka. While he declined to say where else ANA might invest, Mr Katanozaka pointed out that ANA had developed a close relationship with Cambodia’s Angkor Air, in which Vietnam Airlines holds a 49% stake. When asked whether the airline would be making other investments to enhance its reach into other regional markets, Katanozaka said: “Yes, that’s possible.” However, he insisted that Star Alliance remained critical for ANA. The industry’s big alliances have become less important for many carriers in recent years. Sir Tim Clark, CE of Emirates, which has never joined an alliance, is particularly critical of the arrangements. But Katanozaka praised his alliance’s record. “Star Alliance has competed effectively against the other two alliances, OneWorld and Sky Team,” he said. ANA would nevertheless need to monitor the alliance’s “competitive edge”, he added. Katanozaka pointed out that Delta, the US member of Sky Team, had been “very proactive” in renewing its aircraft fleet and expanding into Asian countries. United, Star Alliance’s US member, is generally regarded as moving more slowly.<br/>