Bill Franke, one of the world’s most-influential investors in budget airlines, has debuted a low cost carrier in Chile that aims to expand regionally in the coming years.
Mr Franke, the co-founder and managing partner of the airline-focused investment fund Indigo Partners, said the new carrier JetSmart plans to operate three Airbus A320s this year in Chile and add another six in 2018. Once established in Chile, JetSmart will eye regional expansion, he said.
“We haven’t gotten to that yet, but we have a lot of interest expressed by other countries,” Mr Franke saidafter the debut in Santiago at the weekend.
“We need to get the base of operations here, stabilise the airline … and then we will expand the airline.”
Mr Franke’s Indigo Partners, which already controls the Denver-based Frontier Airlines and owns part of Mexico’s Volaris, is known for unbundled or a la carte fares in so-called ultra-low-cost airlines, where passengers are offered cheap base prices with the option of paying more for extras.
Indigo Partners is also in talks to acquire part of Canada’s Enerjet, and Mr Franke said the fund was currently talking with regulators to better understand foreign ownership rules.
Canada’s transport minister announced in November that the nation would lift foreign ownership caps in airlines to 49 per cent from 25 per cent in a bid to aid start-ups seeking investors.
“There’s no final decision,” Mr Franke said.
“We’ve hired advisers and we’re in the process of talking to the government about ways we might be able to invest in a Canadian airline but it’s really an issue between the regulators.”
Regarding Europe, Mr Franke said the airline scene is ripe there for consolidation, echoing various other industry leaders who have made similar comments in recent months.
“I think over time that will happen in Europe and we will be a motivator to consolidation,” he said.
Mr Franke said Chile’s large middle class, relaxed foreign ownership rules and clear regulations made the country attractive for Indigo Partners’ entrance into Latin America.
In neighboring Argentina, which Mr Franke called a “nice market”, the budget airline industry is also heating up, as the low-cost Norwegian Air Shuttle and the start-up Flybondi have announced plans to enter the market. That nation’s transport minister told industry executives in December that the government expects US$1.7 billion in budget airline investment over the next four years.
“We know Argentina well … It’s a nice market, we like the market but it’s more complicated than Chile,” Franke said.
“So we want to have a nice, stable platform, which we think Chile provides.”
* Reuters
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Ticket prices
- Golden circle - Dh995
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COMPANY PROFILE
Founders: Alhaan Ahmed, Alyina Ahmed and Maximo Tettamanzi
Total funding: Self funded
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TO A LAND UNKNOWN
Director: Mahdi Fleifel
Starring: Mahmoud Bakri, Aram Sabbah, Mohammad Alsurafa
Rating: 4.5/5
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Engine: Four electric motors, one at each wheel
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Torque: 859Nm
Transmission: Single-speed automatic
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UAE currency: the story behind the money in your pockets
Farasan Boat: 128km Away from Anchorage
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Cry Macho
Director: Clint Eastwood
Stars: Clint Eastwood, Dwight Yoakam
Rating:**
COMPANY PROFILE
Name: HyperSpace
Started: 2020
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
Based: Dubai, UAE
Sector: Entertainment
Number of staff: 210
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
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Engine: 3.0-litre six-cylinder turbo
Power: 398hp from 5,250rpm
Torque: 580Nm at 1,900-4,800rpm
Transmission: Eight-speed auto
Fuel economy, combined: 6.5L/100km
On sale: December
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Engine: 2-litre or 3-litre 4Motion all-wheel-drive Power: 250Nm (2-litre); 340 (3-litre) Torque: 450Nm Transmission: 8-speed automatic Starting price: From Dh212,000 On sale: Now
COMPANY%20PROFILE
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A timeline of the Historical Dictionary of the Arabic Language
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- November 2021: First 17 volumes launched
- November 2022: Additional 19 volumes released
- October 2023: Another 31 volumes released
- November 2024: All 127 volumes completed
UAE currency: the story behind the money in your pockets
The Sand Castle
Director: Matty Brown
Stars: Nadine Labaki, Ziad Bakri, Zain Al Rafeea, Riman Al Rafeea
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BRIEF SCORES:
Toss: Nepal, chose to field
UAE 153-6: Shaiman (59), Usman (30); Regmi 2-23
Nepal 132-7: Jora 53 not out; Zahoor 2-17
Result: UAE won by 21 runs
Series: UAE lead 1-0
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Engine: 2.0-litre 4-cyl turbo
Power: 247hp at 6,500rpm
Torque: 370Nm from 1,500-3,500rpm
Transmission: 10-speed auto
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Business Insights
- Canada and Mexico are significant energy suppliers to the US, providing the majority of oil and natural gas imports
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Know your camel milk:
Flavour: Similar to goat’s milk, although less pungent. Vaguely sweet with a subtle, salty aftertaste.
Texture: Smooth and creamy, with a slightly thinner consistency than cow’s milk.
Use it: In your morning coffee, to add flavour to homemade ice cream and milk-heavy desserts, smoothies, spiced camel-milk hot chocolate.
Goes well with: chocolate and caramel, saffron, cardamom and cloves. Also works well with honey and dates.
Where to submit a sample
Volunteers of all ages can submit DNA samples at centres across Abu Dhabi, including: Abu Dhabi National Exhibition Centre (Adnec), Biogenix Labs in Masdar City, NMC Royal Hospital in Khalifa City, NMC Royal Medical Centre, Abu Dhabi, NMC Royal Women's Hospital, Bareen International Hospital, Al Towayya in Al Ain, NMC Specialty Hospital, Al Ain
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Artist: Linkin Park
Label: Warner Records
Number of tracks: 11
Rating: 4/5
UAE v Gibraltar
What: International friendly
When: 7pm kick off
Where: Rugby Park, Dubai Sports City
Admission: Free
Online: The match will be broadcast live on Dubai Exiles’ Facebook page
UAE squad: Lucas Waddington (Dubai Exiles), Gio Fourie (Exiles), Craig Nutt (Abu Dhabi Harlequins), Phil Brady (Harlequins), Daniel Perry (Dubai Hurricanes), Esekaia Dranibota (Harlequins), Matt Mills (Exiles), Jaen Botes (Exiles), Kristian Stinson (Exiles), Murray Reason (Abu Dhabi Saracens), Dave Knight (Hurricanes), Ross Samson (Jebel Ali Dragons), DuRandt Gerber (Exiles), Saki Naisau (Dragons), Andrew Powell (Hurricanes), Emosi Vacanau (Harlequins), Niko Volavola (Dragons), Matt Richards (Dragons), Luke Stevenson (Harlequins), Josh Ives (Dubai Sports City Eagles), Sean Stevens (Saracens), Thinus Steyn (Exiles)
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Engine: 3-litre twin-turbo V6
Power: 400hp
Torque: 475Nm
Transmission: 9-speed automatic
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Three ways to boost your credit score
Marwan Lutfi says the core fundamentals that drive better payment behaviour and can improve your credit score are:
1. Make sure you make your payments on time;
2. Limit the number of products you borrow on: the more loans and credit cards you have, the more it will affect your credit score;
3. Don't max out all your debts: how much you maximise those credit facilities will have an impact. If you have five credit cards and utilise 90 per cent of that credit, it will negatively affect your score.
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Engine: 3.9-litre twin-turbo V8
Power: 620hp from 5,750-7,500rpm
Torque: 760Nm from 3,000-5,750rpm
Transmission: Eight-speed dual-clutch auto
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NYBL PROFILE
Company name: Nybl
Date started: November 2018
Founder: Noor Alnahhas, Michael LeTan, Hafsa Yazdni, Sufyaan Abdul Haseeb, Waleed Rifaat, Mohammed Shono
Based: Dubai, UAE
Sector: Software Technology / Artificial Intelligence
Initial investment: $500,000
Funding round: Series B (raising $5m)
Partners/Incubators: Dubai Future Accelerators Cohort 4, Dubai Future Accelerators Cohort 6, AI Venture Labs Cohort 1, Microsoft Scale-up
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
