newstodate.aero

Aug 18, 2021 (newstodate): The Latvian carrier airBaltic is again to receive state support to compensate losses caused by the ongoing Covid-19 pandemic and to support overcoming the economic crisis.
   Pending EU Commission's green lights, the Latvian state will inject a further EUR 90 million into the equity of airBaltic, planned to be returned to the Latvian state in form of proceeds from selling shares during a planned initial public offering of airBaltic in the future.
   In April 2020, the Latvian state also decided to bolster airBaltic's capital base with the injection of EUR 150 million in an effort to support the carrier in the economic crisis, and according to airBaltic the equity received in 2020 has been used to maintain the company’s operations and cover expenses that could not have been avoided due to the Covid-19 pandemic.
   Later, in May 2020, the Baltic government also 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 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 only nine percent of the stakes, against 20 percent before the transaction.