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Turkish Airlines pulls out Turkish Airlines pulls out

Croatia Airlines fails to attract foreign investors

Written by  Jul 19, 2016

As the carrier's privatisation process enters its third year and despite many recent speculations it seems that Croatia Airlines will not find a buyer after all. Kresimir Kucko, the CEO of Croatia Airlines, says that foreign carriers haven't shown any real intention of purchasing stakes in the company, despite initial interest from Turkish Airlines.

Last May the Croatian government selected the International Finance Corporation (IFC) to look for potential investors by October 2015. Mr Kucko says that the company should be recapitalised in order to develop and expand at respectable pace using its own resources.

Mr Cay, the Turkish carrier's Chief Human Resources Officer, confirmed interest in Croatia Airlines in May this year by saying that his company saw an equity investment in the Croatian counterpart as a good business opportunity adding that a potential deal would benefit both sides. However, Mr Sirac, the Croatia Airlines' Chief Operating Officer, says that the Turkish offer is far from a serious and firm offer adding that at this point, there is no interest from other foreign companies in purchasing the company's shares.

Mr Kucko emphasizes that the company has developed a strategy for the next five years without strategic partners and using their own resources. If a potential buyer appears than the state will have to decide about a possible sale. However, as new parliamentary elections are scheduled for September 2016 it will be up to the next government to deal with Croatia Airlines' future.

The Voice of Dubrovnik


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