Vietnam’s Bamboo Airways, FLC Group-owned nascent airline with first flights started in last January, has a plan to conduct initial public offering (IPO) in 2020, Chairman Trinh Van Quyet of FLC Group told media this week. 
Bamboo Airways plans to float shares in 2020
|
He gave no details on the bourse Bamboo would list on.
From launch to IPO within two years would surely set an airline record, casting doubt on Bamboo’s 2020 IPO but the growing aviation industry in Vietnam has room to let Bamboo expand, Forbes reported.
Bamboo is owned by FLC Group, a local conglomerate spanning property and leisure travel. Its private ownership reflects ambition and capability of non-state-owned firms as Vietnam’s economy privatizes.
As a full-service airline, Bamboo is a rare start-up for Asian aviation. Over the last decade, most start-ups outside of mainland China have been low-cost carriers. Bamboo’s fleet comprises 10 aircraft and it has received government approval to grow to 30 in 2023.
Local news portal The Leader has reported that Bamboo has planned to increase the figure to 150 in the 2023-2028 period and the airplane fleet will include narrow-body A319/A320/A321 and wide-body A330/A350 or Boeing B787.
Bamboo has made a few evolutions in its short history.
Bamboo made the first commercial flight on January 16, 2019. Earlier between March and June 2018, Bamboo Airways signed contracts to buy total 44 airplanes worth US$8.8 billion.
The new move of Bamboo somewhat reflects Vietnam’s bustling aviation and industry observers have wondered how Vietnam’s growth can be accommodated.
In reality, the country’s airports are congested, as are many international destinations. There are also questions how the government views fast-growing private airlines taking market share from state-owned Vietnam Airlines, a full-service airline which also owns low-cost carrier Jetstar Pacific, Forbes reported.
