Cyprus Airways Chairman Tony Antoniou welcomed the government`s decision to call for the expression of interest over acquiring shares or assets of the state-owned carrier.
Speaking to the press, Antoniou said the government will receive proposal by interested investors by late September. Antoniou met with representatives of Cyprus` lenders (Troika of EC, ECB and IMF) who are holding contacts as part of the fifth review of the island`s financial adjustment programme.
“Investor interest will be expressed in one week and by late September they should submit a specific proposal after visiting Cyprus and receiving all necessary figures,” Antoniou said, adding that as a precondition Cyprus Airways should continue to operate from Cyprus.
According to Antoniou, the Cypriot government is the majority shareholder of the Cyprus Airways with 93.67% of the share capital whereas the remaining 6.33% is owned by the private investors.
“The government decided to sale its share” he added, commending the government which has “swiftly secured the viability of Cyprus Airways up to end 2015 and has proceeded with an open call for investor interest.”
Replying to questions, Antoniou acknowledged that the carrier has not much assets left, adding that “there is a commercial value stemming from the history and great flight safety of the CyAir, its specialized staff, its name and the opportunity enjoyed by all European air carriers to fly to all European destinations.”
“All these are a goodwill to be assessed by any (possible investor) according to the programmes he has,” he said.
Asked on Troika`s position on the issue, Antoniou said the Troika has been briefed by the government on the call of interest and the company`s financial situation.
“Cyprus Airways` liquidity gives the government the time needed to find the investor and negotiate in a better manner.
Antoniou also noted the European Commission is expected after Autumn to issue its decision whether the past capital increase of Cyprus Airways breaches the EU directives on state subsidies.
“A delay in the announcement of the decision should be pursued because it would be wrong ahead of these positive developments in CyAir,” he concluded.
