• SABC shenanigans

    SA has already embarked on a slippery slope to autocracy, warns Terry Bell in Inside Labour.

  • Zim tastes people power

    Protests in Zimbabwe are forcing Mugabe to face anti-government sentiment, says Memory Mataranyika.

  • Platinum handshake

    Officials who try to do what's right risk far more than blessed wrongdoers, says Solly Moeng.

All data is delayed
Loading...
See More

Lonrho to create budget African airline

Jun 13 2012 10:20
Reuters

London - Lonrho [JSE:LAF] on Wednesday said it had sold its aviation business to British investment firm Rubicon, allowing it to create Africa-focused low cost airline FastJet with EasyJet founder Stelios Haji-Ioannou's EasyGroup.

Lonrho said it had sold the unit to Rubicon for $85.7m. As part of the deal, Stelios' EasyGroup will own 5% of Rubicon.

"Following completion Rubicon will pursue a strategy of developing a low cost African airline utilising the Lonrho Aviation route network and existing platforms," Lonrho said in a statement.

"Under a licensing agreement with EasyGroup, the airline will be branded FastJet and will use modern jet aircraft and operate to European standards."

Earlier this year Stelios unveiled plans to set up another airline and call it FastJet, stoking tensions between EasyJet management and Stelios, whose family is the largest EasyJet shareholder with 38%.

Former EasyJet chief operating officer Ed Winter will become chief executive of FastJet, while Stelios has the right to be personally appointed to the Rubicon board as one of EasyGroup's board representatives.

 
lonrho

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Comments have been closed for this article.
 

Company Snapshot

We're talking about:

THE SAVINGS ISSUE

Saving can make a lot of things possible, but we all know how hard it is to save. This special Savings Issue will help you get focused.
 

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

Sarb's decision to keep the repo rate unchanged is:

Previous results · Suggest a vote

Loading...