Really Cool Airlines (LUV) is aiming to begin operations in the second quarter of 2024, pending the airline securing certification and aircraft. It is also eyeing an initial public offering (IPO) in the middle of the decade.
CEO Patee Sarasin told the Bangkok Post that he hopes to secure an air operator’s certificate (AOC) from the Civil Aviation Authority of Thailand (CAAT) in January, paving the way for charter flights to begin between March and May. In the second half of 2024, he said he hoped to launch scheduled services to Tokyo, Hong Kong International, Shanghai Pudong, Singapore Changi and Tbilisi, before launching long-haul flights to Europe the following year.
The CEO said he has secured THB 1 billion (USD 28.4 million) in start-up funding and intends to introduce four leased widebodies in 2024, starting with two A330-300s. These will be followed by two A350-900s. When recently contacted by ch-aviation for comment on the status of its first aircraft, a spokesperson for Really Cool Airlines said the acquisitions were “still in progress”.
The Bangkok Post also reported that the airline’s business plan assumes profitability from 2025, at which point Sarasin will begin working on an IPO. Thai law requires three consecutive years of profitability before a company can be listed on the Bangkok Stock Exchange. However, Sarasin wants an IPO in about half that time and will use a stock exchange in another jurisdiction.
Sarasin also says he plans for about 15% of the airline’s total revenue to come from cargo and 40% of total revenue from non-ticket sources in the short term, rising to 50% over time. The CEO says this will help diversify risk and protect the startup from events that could disrupt the airline industry in the future.
