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Avianova files for bankruptcy: reports

3-Oct-2011 10:26 AM

Avianova, a Russian LCC, has ceased all operations and will file for bankruptcy, according to a report in The Moscow Times. The LCC, owned by Russia's Alfa Group (51%) and US-based Inidigo Partners (49%), an aviation-focussed private equity firm that invests primarily in LCCs, has been locked in a shareholder's dispute since Jun-2011. The dispute culminated in the resignation of CEO Andrew Pyne. Avianova commenced services in 2009 and has expanded rapidly. The LCC said all services have ceased due to Indigo Partners' halting of funding for the company. Avianova's shutdown would leave Sky Express as the only LCC in the rapidly growing Russian market.