Ethiopian Airlines has won a bid to own 49% of Nigeria Air becoming the major shareholder in the company.
The federal government of Nigeria selected a consortium led by Ethiopian Airlines to help organize and launch its new flag carrier.
Ethiopian Airlines will control 49% of the shares in the new airline, while the Nigerian Sovereign Fund will control 46% while the Nigerian federal government controlling the remaining 5%.
Nigeria Air will start its operations with a Boeing Boeing 737-800(NG) fleet for now followed thereafter by Boeing 787 aircraft for international operations.
Ethiopian Airlines will now begin the recruitment process for Pilots, Engineers, and Cabin Crew members with relevant B737 aircraft experience.
As previously promised by the federal government, the money spent for the launch of Nigeria Air, for all the requirements to establish an AOC and be admitted to starting an airline operation, is well within the 5% capital investment of the Federal Government of Nigeria as prescribed in the approved Outline Business Case (OBC).
This OBC is the milestone for the preferred Bidder Consortium and has been met by the submitted business plan of the preferred bidder.
The overall share capital of around 300 million USD, provided by the preferred bidder is what will launch Nigeria Air to its full size of 30 aircraft and international operation within the next two years.
No further FGN funding will be provided above the 5% share capital of the next national Carrier of Nigeria, which was provided to launch Nigeria Air.
