25-Mar-2013 4:40 PM

Jazeera Airways considering equity stake in Kuwait Airways

Jazeera Airways chairman Marwan Boodai said the airline is considering purchasing a stake in Kuwait AirwaysAccording to a Gulf News report, Mr Boodai said the Kuwait Airways model would fit Jazeera Airways' strategy, allowing the merging of operations costs and fleet alignment. Mr Boodai said, "Jazeera Airways board will look at investing in Kuwait’s aviation industry, provided the financials are right. Today, we don’t have a balance sheet for Kuwait Airways. But we would be definitely interested in picking up an equity stake in Kuwait Airways...The one company that will benefit from acquiring Kuwait Airways stake is Jazeera Airways. Kuwait Airways is meant to focus on long-haul routes but it is no longer serving long-haul destinations. And as a result they are dumping all the short-haul capacity on Jazeera Airways." Mr Boodai said Jazeera Airways may use its own cash for the proposed purchase, or may raise funds from the market.

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