Flag carrier Air Kyrgyzstan to be privatised

10.04.2018

Kyrgyzstan's government has decided to privatise the Fund for State Property Management-owned Air Kyrgyzstan. The authorities hope to sell a 51% stake in the flag carrier to a private investor.

This is not the first time the Kyrgyz government has planned to offer a stake in Air Kyrgyzstan. In June 2016, the Kyrgyz government announced plans to hold a tender for the sale of a 49% stake in the carrier in September of that year. The stake was valued at KGS188.9mn (€2.42mn) at the time, with the government stating that the buyer would be obliged to renew and expand Air Kyrgyzstan's fleet, with the acquisition of at least five aircraft within five years.

According to the newest version of the offer, if a foreign investor purchases the major stake, the shares gained must not exceed 49% of ownership in the airline - the other 2% is to be sold to Kyrgyz private investors.

Reported by Business New Europe.