Australia's Qantas, which currently owns 45 per cent of OrangeStar Investment Holdings, will increase its stake to 49 per cent - the maximum allowed under Singapore ownership rules for a foreign company.

The remaining 51 per cent of the shares will be bought by Singapore company Westbrook Investments, which is wholly owned by Mr Dennis Choo Teck Wong.

In a statement on Thursday morning, Qantas said that Mr Choo, a veteran in the travel and tourism business, has been a partner of the Qantas Group for more than two decades. The two will form a new holding company called Newstar Investment Holdings, which will in turn own Jetstar Asia and Valuair.

Mr Choo will be chairman of the new company. Mr Bruce Buchanan, who is chief executive officer of Jetstar in Australia - also a Qantas subsidiary - will also serve on the board of the new entity. Ms Chong Phit-Lian will remain as chief executive officer of Jetstar Asia in Singapore.

Temasek currently owns 33.5 per cent of OrangeStar. Other investors include Star Cruises and businessmen Tony Chew and Wong Fong Fui.

In the statement, Qantas chief executive officer Alan Joyce said that the change in shareholder structure would see Jetstar Asia and Valuair more closely align with Jetstar's Australian operations.

This would provide a platform for the Jetstar brand to grow into more markets in the region in anticipation of more open skies across Asia, he said.

'The new structure for Jetstar Asia and Valuair will provide a platform for growth and strengthen existing Qantas group services in Singapore.'

Travellers who already enjoy the benefits of a one-stop booking centre for flights operated by Valuair, as well as the two Jetstars in Singapore and Australia, can also look forward to more flight options and choices as the group continues to grow and expand.