Singapore, December 2018
In the light of recent airline tax by AS administration, Rajawali Group announce that it will shut down its Singaporean holding Rajawali Asia Pte Ltd and liquidate its sub Rajawali Singapore in January 2019. Rajawali Singapore is a member of Globe Alliance, founded on 20th August 2016. Within 2 years of operations, the airlines has become 8th largest in East Asia and 29th largest in the world, carrying more than 600,000 passengers and 75,000 cargo units each week. The airlines has 220 aircraft, including 55 Airbus A330 and 55 Airbus A320, operating almost 7,000 flights to serve 86 destinations including London and Auckland.
"It is a heart-breaking decision that we have to close Rajawali Singapore and bid farewell to Singapore Changi that has awesomely host us for the last two years. What a privilege to be able to serve the traveling public in this country. On 9th January 2019 our Airbus A330 operating RSQ 120 in service from London to Singapore will be Rajawali Singapore's last commercial flight. We will continue to serve Singapore with Rajawali Nusantara, providing connectivity to more than 150 destinations from Medan, Jakarta, Surabaya and Bali. Thank you for the honor to serve you, we look forward to serve you with our other airlines in Rajawali Group as well as Globe Alliance," said Revan Amadeus, CEO of Rajawali Group.
Rajawali Singapore declined to answer when questioned about the company's standing order of 100 Airbus A330-800 NEO and 200 Airbus A321 NEO. The airline placed the order directly to Airbus on 2018 Farnborough Airshow on 16th July 2018 with delivery starting in 2020, intended for replacement and business growth. Airbus also decline to comment regarding the fate of the order, stating they are in communication with the airline group.
Since its inception, Rajawali Singapore has been accused of hindering growth of air travel in Singapore as the company did not aggresively develop its network and unlocking Singapore's connectivity opportunity. Analysts theorized that the airline group has been intended to put the airline as an entrant barrier to Singapore market, creating more favorable condition to develop its mainline hub in KNO. Rajawali Nusantara reportedly has secured 20% of Singapore's market share, connecting more than 4,000 passengers via KNO every day. Furthermore analysts expect Fly Malay, Air Laos, and Rose Thai Airways will join the hunt to capture Rajawali Singapore 40% marketshare as the airline cease to exist.