News

CT2 has received a £6 million cash injection to support its fledgling airline and fund acquisitions for the core tour operation.

A private consortium led by northwest entrepreneur Nigel Warr has secured a majority stake in the business through the investment.

The cash will initially be used to fund an Air Operator’s Certificate for CT2’s AV8 airline and to lease aircraft.

Current AV8 flights are operated with two wet-leased Icelandair Boeing 767s, using the Icelandic carrier’s AOC.

“AV8 will be central to our growth strategy,” said Warr. “The group has a fantastic opportunity to exploit its existing customer base to promote traffic through the airline and this will be a key priority.”

A CT2 spokesman added: “The group currently has 250,000 customers flying with other airlines. It makes sense to have them flying on an in-house aircraft.”

The B767s are being used on short-haul routes for the summer season, but will be moved to operate Manchester to Durban and Cape Town services from September.

A leased B757 currently on AV8’s books will be sub-leased to a third party for the rest of the summer season.

Warr, who made his fortune after selling telecommunications company Eurocall to United Utilities, joins the company’s board as executive chairman.

Group directors Brian Murfin and Stella Donnelly were part of the investment consortium.

Murfin, who will continue in his role as chief executive, said further investment would be made available to fund group acquisitions.

A spokesman denied the group was in financial difficulties before the investment.