Ravn Air Group Auction Scheduled for Tomorrow, July 7th
14 qualified bidders have stated their intent to participate in an auction to be held tomorrow, July 7th, where they can bid to buy the entire Air Group, separate airlines, or some/all of a series of bundled lots of Ravn Air Group's assets. Following the auction, Ravn and its Lenders will then seek approval of these sales at a final Bankruptcy Court hearing on July 9th.
While bids will still be solicited to acquire Ravn as a "going concern," which would enable the entire Air Group (and all three of its airlines) to return to service and rehire employees, Ravn's secured creditors (the Lenders) recently set $43 million as the minimum bidding price for this entire group of assets. As a result, the primary focus of the auction will now be on the airlines and assets separately associated with the Part 135 (RavnAir Connect) and Part 121 (RavnAir Alaska and PenAir) certificates.
"While we are seeing a great deal of interest from other airlines in Alaska in purchasing Ravn's assets, particularly our rural Part 135 facilities and aircraft, we look forward to seeing "going concern" bids for some or all of our three airlines which would enable us to preserve as many jobs as possible throughout the state and the many communities we served before the arrival of COVID-19," said Dave Pflieger, Ravn's President & CEO.