The Romanian airline Blue Air, which suspended its flights this year, announces that it has notified the Authority for State Assets Administration (A.A.A.S.) to hand over the ownership rights for 75% of the company’s shares.
The airline specified that during the day of November 18, the company’s shareholders were contacted by phone by A.A.A.S. representatives, who requested a meeting to establish the technical details for this handover.
„As soon as this legal process is finalized, the Company will publicly communicate the new shareholding structure. Obviously, the majority shareholder of the Company will subsequently decide on the method of public communication regarding Blue Air’s situation,” states the press release sent by Blue Air.
The Ministry of Finance announced on Thursday that it requested Eximbank to analyze the possibility of executing Blue Air’s guarantees submitted upon the granting of the loan of over 300 million RON to compensate for economic losses suffered due to the Covid-19 pandemic and to partially cover urgent liquidity needs.
Eximbank Romania granted Blue Air a loan of over 300 million RON for a period of 6 years.
Blue Air is the largest Romanian airline by the number of passengers carried, with an Ultra-Low-Cost (ULC) business model. The company is IATA Operational Safety Audit (IOSA) certified by the International Air Transport Association (IATA) for exceptional operating standards and is a full member of IATA.
Frequently Asked Questions
Why is the Romanian state taking over Blue Air?
The state is taking over 75% of the shares after the airline failed to repay a 300 million RON loan guaranteed by the government during the pandemic.
What is the role of A.A.A.S. in this process?
The Authority for State Assets Administration (A.A.A.S.) is the entity responsible for managing the technical handover and the state’s majority stake in the company.
Will Blue Air resume flights immediately?
The resumption of flights depends on the decisions made by the new majority shareholder (the State) after the legal transfer of ownership is completed.