Thai Airways International and Tiger Airways Holdings has signed a Memorandum of Understanding to form a new low fare airline called Thai Tiger Airways Private Limited.

The new airline will operate the same low-fare, low-cost model as the other airlines in the Tiger Airways Group, and is expected to start operations in the first quarter of 2011, pending regulatory approvals.

Based in Bangkok, Thai Tiger will operate international and domestic flights out of Suvarnabhumi International Airport offering short-haul, point-to-point services within a five- hour flying radius.