Addendum
Struggling NokScoot slain by competition - not just COVID-19
July 1st 2020
The coronavirus pandemic claimed an Asia-Pacific victim last month in Thailand-based regional carrier, NokScoot, a joint venture between Singapore Airlines-owned Scoot and Thailand’s Nok Air. Read More » The LCC announced it was unable to cope with the impact of COVID-19. The carrier’s closure will leave most of its 450 staff without a job with the exception of a small team being retained to work through the liquidation process. The company promised to pay staff full benefits in accordance with Thailand’s labour laws.
NokScoot was established in 2014, with Nok owning 51% of its shares and Singapore’s Scoot holding the remaining 49%. Thai Airways International, now under bankruptcy protection, has equity of 13.28% in Nok Air, another carrier in a fragile financial state. NokScoot has routes to seven cities in China, three in Japan and to New Delhi, Singapore and Taipei. Even before the coronavirus outbreak began, the LCC was losing money in an intensely competitive LCC market. “Unprecedented challenges arising from COVID-19 have exacerbated the situation,” a board statement said. NokScoot’s five 777ERs will be returned to Scoot.
