Serbia announces stake divestment in flag carrier JAT Airways
29 Jul 2008
Belgrade, Serbia: The Serbian government announced Tuesday the sale of a majority stake in the struggling state-owned flag carrier JAT Airways. The tender, announced in Belgrade's Politika daily, said a potential buyer will have to be registered in the European Union or Serbia.
The sale will also include real estate owned by JAT in Serbia, it said.
The carrier's property is valued at 162.64 million euros ($256.09 million) and its current debt is 247.39 euros ($389.54) million, according to the international tender.
Buyers have until 31 July to submit bids.
The announcement said that 51 per cent of the airline would be sold initially, but this may increase to 75 per cent depending on the outcome of talks with the buyers.
The airline, founded in 1927 under the name Aeroput, is one of the world's oldest. It currently operates nine Boeing 737-300s and three French-built ATR-72-200 turboprops.
Aeroflot, Icelandair and Air Berlin were among the airlines that have expressed an interest in buying a controlling share, JAT officials have said.
At one stage, Indian flag carrier, Air India, was also in the running. (See: Serbia to seek bids for flag carrier JAT Airways)
