Ethiopian Ceases Negotiations to Manage Arik Air
Addis Ababa Ethiopian Ceases Negotiations to Manage Arik Air === ==
The Ethiopian Airlines has ceased negotiations with the government of Nigeria to manage Arik Air, the biggest private Nigerian airline, Ethiopian CEO disclosed.
Ethiopian Airlines Group CEO Tewolde Gebremariam told AIN that the airline ceased talks with the Asset Management Corporation of Nigeria (AMCON) due to the complex nature of the negotiations.
“We decided to stop the negotiation due to financial and legal complications,” he said.
Despite the failure to reach agreement on the management of Arik Air, Ethiopian remains interested in working together with private airlines in Nigeria, Tewolde added.
The Nigerian government that took control of Arik Air after the airline failed to pay its employees and creditors for months asked the management of Ethiopian Airlines to assume control of the company on a management contract basis.
Ethiopian Airlines has become a preferred partner among African countries.
The government of Zambia recently chose Ethiopian as a preferred strategic partner to reestablish national carrier Zambia Airways.
The Zambian government intends to make an initial investment and own 55 percent of the new airline, while Ethiopian holds a 45 percent stake.
The Ghanaian government has also shortlisted Ethiopian as one of the three airlines to re-launch a national carrier in the West African country.