News

THE Libra Holidays Group is selling over half its stake in Excel Airways to pay back a £15.8 million loan to the airline.

The operator has accepted a £29.9 million offer from charter airline Air Atlanta for the 40.5% stake, representing 38.9 million shares. The deal is due to be completed by March 15 subject to clearance by the Civil Aviation Authority, Libra shareholders and the Air Atlanta board of directors.

After the sale, Libra will hold a 39% stake, and Excel’s management will retain its 18.2% holding. The remainder is held by public shareholders.

Libra borrowed the cash in October last year and was due to pay it off by the end of April.

Group managing director Andreas Drakou said: “It was always our intention once the airline was listed to reduce our stake below 51% and this was a good opportunity. The money will be used to pay off the loan, among other things. We now have cash to fund other areas of the group.”