Saturday, August 13

Volotea requests 185 million from the Government rescue fund

Volota also wants an economic injection from the Government. The airline has formally requested a Participative loan of 185 million euros al Fund to Support the Solvency of Strategic Companies, a tool that manages the State Society of Industrial Participations (SEPI). The company has expressed its need to recover the “equity balance” lost with the COVID-19 crisis.

In a statement, the company explains that the request is part of its status as strategic company, especially given the number of direct and indirect jobs it generates or the sector in which it operates. Furthermore, Volotea defines itself as a connectivity alternative for millions of European passengers every year.

In parallel, the airline trusts that this loan, of which it hopes not to exhaust the maximum amount, will reinforce its position with regard to the agreement reached with IAG. According to this agreement, Volotea would operate certain routes and slots from Air Europa e Iberia to comply with the requirements of the European Commission in the event that the acquisition of Air Europa by Iberia becomes official. Finally, the company argues that this participation would strengthen its solvency and competitiveness and “boost its strength as a potential in the markets in which it operates.”

The airline, founded in 2012 by Carlos Munoz, had been obtaining positive results since 2015. However, the pandemic impacted the business in such a way that the company lost more than 120 million euros in 2020, which has affected its funds.

Third airline to attend SEPI

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This move makes Volotea the third Spanish airline to request SEPI aid, after Air Europa (which received 475 million) and Plus Ultra, with a loan of 53 million euros. The fund that this entity manages is endowed with 10,000 million euros and has already helped more than 180 companies.

The most notorious cases have been Ávoris (a company resulting from the union between Barceló and Globalia), the manufacturer Assembled Pipes, The airline Plus Ultra, Air Europa and engineering Hard Felguera. Recently the Catalan group Serhs, Airtificial and Reinosa have joined this list, which less than a month ago received the green light from the Council of Ministers to be recipients of 34 million the first two and 27 million the last.

Reference-www.elperiodico.com

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