Milbank LLP advised Trustmark Holdings Corporation (“Trustmark Holdings”) as the selling shareholder, PAL Holdings, Inc. as the target listed entity and Philippine Airlines Inc. (“PAL”) on ANA Holdings Inc’s (“ANA Holdings”) acquisition of a 9.5% stake in PAL Holdings for US$95 million, and the entry into related business agreements between All Nippon Airways (“ANA”) and PAL. PAL Holdings is the parent of PAL, the Philippine flag carrier and the largest airline in the Philippines. ANA Holdings is Japan’s largest airline group, and the parent of ANA.
Funds from the sale will be used by Trustmark Holdings to support PAL’s operations and expansion program, which has seen its fleet and network grow to nearly 100 aircraft and 80 destinations in four continents. The purchase coincides with PAL’s heightened emphasis on product transformation. The airline was recently recognized as the World’s Most Improved Airline for 2019 by airline review firm AirlineRatings.com.
The Milbank team was led by Hong Kong-based partner James Grandolfo and Singapore-based partner Jacqueline Chan with Hong Kong-based associate Ari Singzon.
Mr. Grandolfo said: “This landmark investment by ANA Holdings will usher in a new era of growth for PAL. We are thrilled to have played a role in this growth as PAL builds its network and further strengthens its position as a major international airline in the Asia-Pacific region and across the world.”
Ms. Chan added: “This deal lays the groundwork for a mutually beneficial partnership between PAL and ANA and highlights the strong growth fundamentals of the Philippines and the Asian region. We look forward to seeing the tremendous impact this partnership has on the aviation industry.”
