DUTCH NATIONAL AIRLINE SEES THEIR SHAREHOLDING IN KENYA AIRWAYS CUT TO JUST OVER 13 PERCENT
(Posted 17th November 2017)
The now almost concluded financial restructuring of Kenya Airways – only a final regulatory approval is outstanding to waive the otherwise required mandatory takeover bid when a single shareholder reaches a certain percentage in shareholding – has seen individual stakeholders take a massive cut in their holdings. Now, the same fate appears to have befallen KLM, strategic partner of Kenya Airways, which will see its own share holding cut down to just 13.8 percent from its former high of 26.7 percent.
Main winners in this development is the Kenya Government which shareholding, and representation on the board of directors, has grown from 29.8 percent to just under 50 percent, while the banks which helped restructure their loans and turn debt into equity will hold 38.1 percent in the future.
It is understood that KLM will also lose one of its two board seats and has made further concessions to Kenya Airways which are thought to in particular remove shackles on board level where KLM could in the past veto decisions.
No doubt are things now looking up some more for Kenya Airways and CEO Sebastian Mikosz has already indicated that the consolidation phase is soon over and the airline will set eyes on growth again.