Cyprus Mail

Ryanair not ‘particularly interested’ in Cyprus Airways

Ryanair CEO Michael O'Leary

RYANAIR boss Michael O’Leary said on Monday that the airline was not particularly interested in acquiring troubled Cyprus Airways, which he said had huge legacy issues.
Ryanair was among nearly 20 companies which last week submitted a non-binding expression of interest in Cyprus Airways, now controlled by the government. The process is a preliminary step towards any eventual binding offer by any bidder.
“We are not particularly interested in Cyprus Airways which has huge legacy issues: pension scheme, historic losses (and) it looks like it may have to repay about 100 million in legal state aid,” O’Leary told reporters in London, after Ryanair released its quarterly results.
Ryanair had submitted an expression of interest in the carrier because the Cypriot government had asked them to, he added.
Cyprus Airways has struggled to survive against cheaper competitors and has been loss-making for years despite several attempts at a turnaround.
The airline has recently resorted to selling assets to stay afloat, including its slots at London’s Heathrow airport.
It is also under scrutiny by the European Commission. Brussels is investigating terms of a 31.3 million euro capital increase in early 2013, and a 73 million euro rescue package by the Cypriot state in 2012 to establish whether it violated state aid rules.
O’Leary said Ryanair was keen to develop its business in Cyprus, and was looking at how to develop markets in the Middle East, using Cyprus as a base.
“We’re happy to work with them on all of that,” said O’Leary, who has discussed expanding tourism with the government.

Related Posts

Omonia fans ready for ‘experience of a lifetime’

Jonathan Shkurko

British bases: fully committed to development deal

Nikolaos Prakas

National strategies for a greener economy and sustainable development key for future generations

Sarah Ktisti

Registered unemployed in Cyprus increase in September

Source: Cyprus News Agency

Boy seriously injured in crash

Nick Theodoulou

Kedipes reports total cash inflows of €1.45 bln

Source: Cyprus News Agency


Comments are closed.