27-Apr-2010 2:04 PM

Nicon Group MD acquires stake in Nigerian Eagle Airlines

Nigerian Eagle Airlines (formerly Virgin Nigeria) management was reportedly taken over by Nicon Group MD, Jimoh Ibrahim, on 24/25-Apr-2010, with the agreement reportedly approved by the  company’s creditor, United Bank for Africa Plc (UBA) (ThisDay/Punch/Business Dau, 25-Apr-2010). Following the agreement, Mr Ibrahim reportedly holds 51% of controlling shares in the carrier, with the ownership position reportedly acquired at a cost of USD5 million. Part of the agreement with the bank was to allow the new management to inject fresh funds into the airline and to take over the liability of the airline, including that of UBA, which is reportedly in excess of USD100 million. It has also been reported that a merger between Nigerian Eagle and NICON Airways could be a possibility.