By Jamie Freed

SYDNEY (Reuters) – New Australian price range airline Bonza plans to begin home flights with two to 3 Boeing (NYSE:) Co 737 MAX planes from the second quarter of subsequent 12 months, pending regulatory approvals, its chief govt informed Reuters.

The airline might be primarily based in northern New South Wales or southern Queensland and give attention to leisure-driven routes not served by rivals or are underserved, mentioned Tim Jordan, Bonza’s founder and CEO.

Bonza, which implies “wonderful” in old style Australian slang, would compete towards Qantas Airways Ltd, Virgin Australia and Regional Specific Holdings Ltd (Rex) in a market that lacks an impartial low-cost provider.

“This isn’t ‘me too’,” Jordan informed Reuters in a telephone interview. “We aren’t about stealing visitors from different carriers. That is about making a model new market.”

The preliminary routes might be chosen partially primarily based on which airports provide higher monetary incentives, he mentioned.

Bonza expects to use for an working licence with Australia’s aviation regulator and hopes to promote tickets within the first quarter of 2022, Jordan mentioned.

The provider is backed by U.S. personal funding agency 777 Companions, which has an funding portfolio that features Canadian low-cost airline Aptitude Airways and in March positioned an order for twenty-four 737 MAX planes with buy rights for 60 extra.

“We see enormous potential within the Australian market to ship the advantages and choices that an impartial low-fare airline brings,” 777 Companions Managing Companion Josh Wander mentioned in a press release.

Tigerair Australia, as soon as a competitor in that market and later purchased by Virgin Australia, closed final 12 months throughout the COVID-19 pandemic after reporting losses for years.

Rex launched big-city flights earlier this 12 months, with one-way fares as low https://www.reuters.com/article/rex-expansion-idUSL4N2MY5B3 as A$39 ($28.56) from Sydney to Melbourne, earlier than lockdowns led to a short lived flying halt. Its choices, nevertheless, are mid-tier quite than low-cost.