Air Baltic Stake Sold to German Investor
- New Europe Investor
- November 07, 2015
The Latvian government has agreed to sell a 20% stake in the national carrier, Air Baltic to German investor, Ralf Dieter Montag-Girmes for €52 million.
As part of the deal to bring Air Baltic back to health, the Latvian government has instructed the central bank to loan the airline €80 million.
The Latvian government have still to vote on the deal and the loan to ensure it happens. Should it go through, the positive balance sheet will allow it to finance a Bombardier order it has planned.
It is understood the government in Latvia is looking for a more long term solution for Air Baltic. It has ordered the Ministry of Transport to seek out a larger investor for the rest of the airline.
Minister for Transport, Anrijs Matiss has just been sacked, allegedly for the lack of communication with the government regarding the health and strategy of the airline.