Qantas, Temasek to set up budget airline

SINGAPORE, April 6 (UPI) -- Australian national carrier Qantas announced Tuesday it will team up with Temasek Holdings in a budget airline venture to be based in Singapore.

Temasek is the Singapore government's investment arm.

Qantas Chief Executive Geoff Dixon said Qantas would have a 49.9 percent stake in the no-frills carrier, while Temasek will own 19 percent, Singapore businessman Tony Chew 21.1 percent stake and F.F. Wong, another local businessman the remaining 10 percent.

The total investment will be $100 million and the airline is expected to fly before the end of the year, The Business Times reports.

Tiger Airways and ValuAir are two other no-frill airlines being planned out of Singapore.