in Business & Finance

Disposal of Fly 540 Kenya

Posted 25 June 2014 · Add Comment

fastjet has announced it has signed an agreement to dispose of its holding in Fly 540 Kenya, the loss-making investment it inherited as part of the acquisition from Lonrho Aviation, to Don Smith, a director of Fly 540 Kenya.

The agreement wholly removes Fly 540 Kenya from the fastjet group.

All legal and financial ties between the two companies have been dissolved and each group has indemnified one another against any and all liabilities relating to the segregation of the businesses.

Ed Winter, Interim chairman and chief executive of fastjet, said: "Following a period of complex negotiations, we are delighted to have achieved a successful outcome for all parties. After a thorough and lengthy evaluation of Fly 540 Kenya, we concluded that converting the business into the fastjet low-cost model would not be economically viable.

"Disposing of our investment in Fly 540 Kenya allows us to pursue our priority objective of creating fastjet Kenya as a new entity which will operate to the same low-cost model, international standards of safety, reliability and punctuality as fastjet Tanzania and utilise the same commercial strategy and distribution platforms. Further information on the company's plans to launch fastjet Kenya will be announced in due course."

 

* required field

Post a comment

Other Stories
Advertisement
Latest News

Colas UK secures construction deal for new Ugandan Hoima International Airport

Colas UK has revealed its new direction as a transport infrastructure company able to compete for the largest projects both in the UK and overseas.

How to make the African cargo industry shipshape

Two major air cargo conferences took place in Addis Ababa, the Ethiopian capital, in June. Kaleyesus Bekele reports.

Travelport achieves ground-breaking IATA NDC Level 3 certification

Travel Port ha been certified by the International Air Transport Association (IATA) as a “Level 3” aggregator under IATA's New Distribution Capability (NDC) initiative intended to create a new distribution standard for the airline

Flight for sore eyes

It's not rare to spot an MD-10 aircraft in African skies but there is one unique jet, owned by Orbis that is saving the sight of thousands and offering life-changing training in eye care.

Etihad Airways adds new B787 to Casablanca route

Etihad Airways is to operate its flagship Boeing 787 Dreamliner on the Abu Dhabi – Casablanca route, effective 1 May 2018.

Conference plots the future direction for drones

Unmanned air vehicles and their potential uses throughout Africa were put under the microscope at the Drones East Africa Conference in Nairobi. Githae Mwaniki reports.

Aviation Africa SK18418
See us at
Aviation Africa BT18418