Thai VietJetAir (VZ, Bangkok Suvarnabhumi) majority shareholder, Somphong Sooksanguan, has watered down his 51% stake in the carrier to just 10% with the longterm aim of completely divesting from the start-up.

Somphong, the president of Kan Air (KND, Chiang Mai) parent, Kannithi Aviation, told the Bangkok Post that he sold 41% of the company off to an undisclosed Thai firm after serious differences between his and 49% shareholder VietJetAir's managerial styles were the main reason for withdrawing from the joint-venture. According to Somphong, another undisclosed Thai investor will acquire the remaining 10% share, held by Kannithi Aviation.

Somphong says he plans to concentrate on expanding Kan Air's business and other new travel-related ventures including car-rental and hotels.

As such, Kannithi's departure does not imperil Thai VietJetAir's future as its majority shareholding still rests in the hands of locals. Though it secured its Air Operator's Certificate (AOC) from the Thai Department of Civil Aviation (DCA) in November last year, the LCC is still awaiting route clearance to operate scheduled flights from Bangkok Suvarnabhumi to Phuket, Chiang Mai, Hat Yai, and Udon Thani.