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AMCON closing in on new investors for Arik Air, Aero Contractors before year end

Strong indications Tuesday emerged revealing that the Asset Management Corporation of Nigeria (AMCON), has perfected drive to hands off management of debt-ridden two major commercial airlines in Nigeria; Aero Contractors and Arik Air.
Recall that the federal bad debt absorber, had some years ago, rescued both airlines at different time when their loan defaults had crossed the red line and had since been reviving them to their current state of near profitability.
Otherwise, AMCON had taken over Aero Contractors and Arik Air in February 2016 and February 2017, respectively, over their debt profile and appointed receiver management, and stated that the airlines would not be returned to their original owners until they cleared their indebtedness to the corporation.
At the separate points of the interventions, AMCON was quick to assure the troubled owners and shareholders that it doesn’t intend to destroy the airlines but turn it around and stabilize it with value addition.
A top official of the Ministry of Aviation in Abuja, confided in our correspondent that “there was no time the government was considering buying over or merging both rescued airlines to become the national carrier, rather, government’s target is to resuscitate both airlines and hand them over to credible investors.
“As everybody can attest, both airlines have long moved away from bad debt level up to profitability trajectory and the needful is to find investors which we are sure will be known before the end of the year.
Though the official who pleaded anonymity, said “before the 2019 general elections, there were almost 20 bidders,” he further revealed that “now, the number has increased and we have a good number of foreign investors’ interest in both airlines”.
The official assured that the incoming Minister will fast track the process of selecting the best investors for both airlines.