Latvian portal BB.LV refers to a statement on the matter by Latvian Finance Minister Arvils Asheradens. According to his calculations, airBaltic will cease operations if it fails to find money by June 30.
Currently, finding investors for airBaltic, Latvia’s national airline, is a better way than going public, the minister said in an interview with a Latvian TV channel.
However, in order to sell shares on the stock exchange on good terms, the company must have impeccable financial indicators. And airBaltic has problems with this. Since 2009, the company has made a total loss of EUR 620 million to the state.
When asked how soon airBaltic should be able to raise new financing to enable the company to continue operating at all, the finance minister said that “it seems to be a matter of the first half of the year, and we have to hope that it will happen.
The Latvian state currently holds an 88.37% stake in airBaltic, while German carrier Lufthansa holds 10%.
Latvia’s national air carrier has long been in a deep crisis.
Earlier, the government offered a stake in the company to its Lithuanian and Estonian neighbors, but they refused.
