newstodate.aero

May 15, 2020 (newstodate): The Latvian carrier airBaltic has now secured the rise of its capital base to bolster its fight through the current pandemic.
   One of two shareholders in airBaltic, the Baltic government has agreed to inject 250 mio euro in the carrier as added share-holding capital, and not a loan which would have required approval from the EU Commission.
   By this transaction, the Latvian state has raised its majority ownership from 80 to 91 percent, while the other stakeholder in the carrier, Aircraft Leasing 1 SIA owned by Danish investor Lars Thuesen, now holds nine percent of the stakes.
   -It is very satisfactory that the Government of Latvia as majority shareholder has acted quickly and resolutely to secure the future of airBaltic in this very challenging environment, says Lars Thuesen.
   -As nearly all other private shareholders in today's airline industry, I have not been in a financial position to participate in this emergency equity call, and my stake has thus been diluted.  
   -But I would rather be a nine-percent shareholder in a well capitalized company well positioned to emerge strongly out from the present crisis, than to hold 20 percent in a company that cannot pay its bills, says Mr Thuesen.
   In April 2017, Mr Thuesen bought the company Aircraft Leasing 1 SIA, registered in Latvia on December 8, 2014, though which the investor Ralf Dieter Montag Girmes held 20 percent of the stake in airBaltic since February 2016.