Indonesian airline Merpati Nusantara seeks investors
Indonesia’s state-owned airline Merpati Nusantara Airlines will sell between 30 and 35 per cent of its shares to domestic or foreign investors. The government in Jakarta has said it wants to sell a stake because the airline has amassed debts of about $603 million and is in need of new funds to restructure its business model.
Last year, the airline carried 2.1 million passengers, far less than its Indonesian competitors. However, it is a major domestic airline with a strong brand and operating scheduled services to more than 25 destinations in Indonesia including more remote regions, as well as scheduled international services to East Timor and Malaysia.
In comparison, in 2012 Lion Air carried 23.9 million, Garuda 14.1 million, Sriwijaya Air 8.1 million, and Batavia Air 6 million.
Merpati Nusantara Airlines is currently banned from operating in European airspace. The ban was imposed by the European Commission in consultation with member states’ aviation authorities after Merpati Nusantara Airlines was found unsafe to conduct operations anywhere in European airspace.
In 2012, the airline received a capital injection from the government of $60.7 million.
Indonesia's state-owned airline Merpati Nusantara Airlines will sell between 30 and 35 per cent of its shares to domestic or foreign investors. The government in Jakarta has said it wants to sell a stake because the airline has amassed debts of about $603 million and is in need of new funds to restructure its business model. Last year, the airline carried 2.1 million passengers, far less than its Indonesian competitors. However, it is a major domestic airline with a strong brand and operating scheduled services to more than 25 destinations in Indonesia including more remote regions, as well as scheduled...
Indonesia’s state-owned airline Merpati Nusantara Airlines will sell between 30 and 35 per cent of its shares to domestic or foreign investors. The government in Jakarta has said it wants to sell a stake because the airline has amassed debts of about $603 million and is in need of new funds to restructure its business model.
Last year, the airline carried 2.1 million passengers, far less than its Indonesian competitors. However, it is a major domestic airline with a strong brand and operating scheduled services to more than 25 destinations in Indonesia including more remote regions, as well as scheduled international services to East Timor and Malaysia.
In comparison, in 2012 Lion Air carried 23.9 million, Garuda 14.1 million, Sriwijaya Air 8.1 million, and Batavia Air 6 million.
Merpati Nusantara Airlines is currently banned from operating in European airspace. The ban was imposed by the European Commission in consultation with member states’ aviation authorities after Merpati Nusantara Airlines was found unsafe to conduct operations anywhere in European airspace.
In 2012, the airline received a capital injection from the government of $60.7 million.
