SkyEurope for sale
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SkyEurope for sale
Today different news agencies announced that selling skyeurope is one of the only possibillities. Cause are the high fuel prices and the hard concurrence.To survive the winter they received a short term loan of 10 million Euro. So this means that another succesful low cost carrier will dissapear in the future.
Skyeurope is founded by 2 belgians Christian Mandl and Alain Skowronek and flies from Brussels to Prague and Vienna.
full article (dutch) http://www.demorgen.be/dm/nl/996/Econom ... lage.dhtml
Citybird
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- BrightCedars
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- Location: Brussels, Belgium
Re: skyeurope for sale
Obviously not that successful seeing they needed a 10M loan and are on the verge of breaking down.CTBke wrote:So this means that another succesful low cost carrier will dissapear in the future.
Sad news in any case.
Re: skyeurope for sale
Ok you are right although they are pretty good... recently changed they're corporate ID so ... time will tell... hope the scenario isn't the same as Alitalia and that some investors see something potential in skyeurope.BrightCedars wrote:Obviously not that successful seeing they needed a 10M loan and are on the verge of breaking down.CTBke wrote:So this means that another succesful low cost carrier will dissapear in the future.
Citybird
The flying dream
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Re: skyeurope for sale
I don't think so.BrightCedars wrote:Obviously not that successful seeing they needed a 10M loan and are on the verge of breaking down.CTBke wrote:So this means that another succesful low cost carrier will dissapear in the future.
They've hoped to realize a positive result as from 2009. But because of the high fuel prices, they've calculated they will be unable to do so. Unlike Alitalia, who received a loan from the Italian goverment because they were terminally ill, Sky Europe needs a loan because they're too short in cash. Private banking group Sal. Oppenheim (Luxembourg) already warned for this problem last year, before the actual fuel crisis.
Seems they've invested too much in planes (15 x 737-700 NG) and new routes. The fact that they've received the loan increases their survival chances, but decreases the take over value.
http://www.skyeurope.com/en/about-us/in ... tions.aspx
Re: SkyEurope for sale
Never understood why they did not serve the largest client market for Eastern-Europe,Germany !
NUE,HAJ and /or STR would have been great regions to have one ot two aircraft based.But those considerations are useless anyhow,sine they will rather cut in flight-destinations than increase ..
NUE,HAJ and /or STR would have been great regions to have one ot two aircraft based.But those considerations are useless anyhow,sine they will rather cut in flight-destinations than increase ..
- BrightCedars
- Posts: 827
- Joined: 01 Sep 2005, 00:00
- Location: Brussels, Belgium
Re: SkyEurope for sale
Well, I don't think anything can be used to compare Sky Europe and Alitalia. These are two totally different stories. What I'm saying is that they obviously are in a position that puts them at risk of failure more than of success. They need loans (it's good they get them in the current climate but still they are needing them), they are very vulnerable to oil volatility and obviously have little or no reserves for hedging (loan application), and it's not like there are many airlines on the market shopping for small low-cost players. The big players like easyJet or Ryanair will rather undercut their prices and bring them to demise than go through the difficulty of a take-over, different fleets and cultures, etc. Again this due to the limited size of the operation. The legacy carriers (healthy or not) already serve those markets and will just be delighted to see some pressure off the yields should they happen to fold.LX-LGX wrote:They've hoped to realize a positive result as from 2009. But because of the high fuel prices, they've calculated they will be unable to do so. Unlike Alitalia, who received a loan from the Italian goverment because they were terminally ill, Sky Europe needs a loan because they're too short in cash. Private banking group Sal. Oppenheim (Luxembourg) already warned for this problem last year, before the actual fuel crisis.
Seems they've invested too much in planes (15 x 737-700 NG) and new routes. The fact that they've received the loan increases their survival chances, but decreases the take over value.
Re: SkyEurope for sale
I do not think Germany is the largest market for Central and Eastern European flights. I guess this will be the UK and Ireland as (1) much more Eastern Europeans went there to work (Germany until now still has limitations in place on the free movement of people from Eastern Europe!!) and (2) for people from Poland, Czech Republic and Slovakia it is very often possible to go by bus in a reasonable time to many place in Germany and that is even cheaper than LCC's.beaucaire wrote:Never understood why they did not serve the largest client market for Eastern-Europe,Germany !
NUE,HAJ and /or STR would have been great regions to have one ot two aircraft based.But those considerations are useless anyhow,sine they will rather cut in flight-destinations than increase ..
And finally, LH is fighting hard against any LCC trying to enter in its market, and they have the money and the power to win such fights PLUS slots at attractive German airports are not easy to obtain. NUE, HAJ or STR are all towns with roughly 500'000 inhabitants or even less and with no soo big catchment areas in terms of people. You cannot compare them with BRU, AMS, VIE, etcetera. It simply would not work. PLUS, finally, a number of German LCC's have based their planes at exactly those airports already, so HEAVY competition on the few lucrative routes.
In two words: forget it.
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A300 A318 A319 A320 A321 A340 B737 B747 B757 B767 MD81 MD82 MD90 Tu134 IL18 BAe146 RJ85 RJ100 CRJ200 CRJ700 CRJ900 ERJ145 E170 E195 F50 F70 F100 ATR42 ATR72 Q300 Q400
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Re: SkyEurope for sale
SAPO International and Longstock Financial Group to acquire SkyEurope
Monday, December 15, 2008
SAPO International S.A. based in Athens-Greece (...) and Longstock Financial Group based in Lisbon-Portugal (...) announced their newly developed partnership formatting Longstock SAPO Ltd. based in Gibraltar. The new company intends to acquire a controlling interest in SkyEurope Holding AG based in Vienna subject to regulatory approval. Due to the current financial situation of SkyEurope, Longstock Sapo plans to inject fresh capital in the company. Longstock SAPO does not intent to launch a mandatory takeover bid for SkyEurope but to apply for the restructuring privilege under the Austrian Takeover Act.
More at http://www.traveldailynews.com/pages/show_page/28465
Monday, December 15, 2008
SAPO International S.A. based in Athens-Greece (...) and Longstock Financial Group based in Lisbon-Portugal (...) announced their newly developed partnership formatting Longstock SAPO Ltd. based in Gibraltar. The new company intends to acquire a controlling interest in SkyEurope Holding AG based in Vienna subject to regulatory approval. Due to the current financial situation of SkyEurope, Longstock Sapo plans to inject fresh capital in the company. Longstock SAPO does not intent to launch a mandatory takeover bid for SkyEurope but to apply for the restructuring privilege under the Austrian Takeover Act.
More at http://www.traveldailynews.com/pages/show_page/28465