Posted on: 28 September 2019 by Glenn Sands
Thomas Cook’s German subsidiary Condor may have been offered a lifeline from US equity firm, Indigo Partners. According to simpleflying.com the US firm is reported to be interested in acquiring the airline. However, as yet a deal has not been reached between the two parties.
After the collapse of parent company Thomas Cook this week, the German airline’s future had been uncertain. The airline did receive an injection of 380 million euros from the German government, which has resolved the operator’s immediate future, but as for its long-term, this remains uncertain.
The US firm’s bid offers Condor a more secure future, and with its financial backing, it would offer the potential for Condor to become a significant LCC within Europe.
Although Indigo Partners is not widely known in Europe, the group already owns Frontier Airlines, as well as Chilean JetSmart and Mexican Volaris and the company is currently developing a partnership in Canada with Enerjet. Within Europe, the private equity firm only has holding’s in Wizz Air.
If the deal goes ahead, Condor’s fleet will need replacing. Its current fleet comprises 53 aircraft including 31 757s and 767s which have an average age of 19-24 years. Indigo has a huge backlog of A320 aircraft on order which could help the airline back to becoming a profitable concern again.