Manila: The Philippine Airlines, the country's flag carrier, is for sale, a local paper said.
It is too early to reveal PAL's buyer but it will be done at "the right price," Lucio Tan, PAL's chairman and chief executive officer, told Manila Bulletin.
It was the first time for Tan to confirm his plan to sell PAL. Last year, he denied that talks were held to sell his struggling company.
Business sources named Eduardo Cojuangco of San Miguel, a food conglomerate, and Manuel Pangilinan, chairman of the Philippine Long Distance Company (PLDT), a telecommunications firm, as interested parties vying to get PAL.
Other sources said the two have been planning to raise $1 billion (Dh 3.64 billion) buy shares of PAL Holdings.
"Both are my friends," said Tan, but did not say if there were other interested parties wanting to get PAL.
San Miguel's Ramon Ang confirmed holding talks with Tan, but added this was to give business advise to a friend. He was not representing San Miguel, during the talks, he added.
Tan's PAL Holdings Inc. owns 94 per cent of PAL.
Meanwhile, Pangilinan was reported to have given up his plan to buy PAL, following his decision last year to buy 98 percent of Digital Communications Philippines Inc (Digitel) at 69.2 billion pesos (Dh5.76 billion). Digitel is owned by tycoon John Gokongwei who also own Cebu Pacific, a fast rising airlines' company.
Last year, Tan confirmed that PAL could not continue re-fleeting without the help of new investors.
Tan's PAL has five Boeing 747-400s (bought more than 20 years ago), two B777-300ERs, four Airbus 340-300, eight A330-300s, 13 A320-200, and four A320-319s.
The company admitted to incur a net loss by March this year. Its net profit in 2010 was $72.5 million.
Earlier, Pangilinan's PLDT and Metro Pacific Investment Corp. set up Pacific Global One Aviation Inc. Sources said this was in preparation for the acquisition of PAL.
Pangilinan also chairs Manila Electric Co, Metro Pacific Tollways Corp, and Philex Mining Corp.
