The Thailand government has now diluted its controlling stake in flag carrier Thai Airways.
As part of the airline’s planned restructuring, the finance ministry sold a 3.2% stake taking its shareholding below 50%.
That means Thai Air is no longer a state owned enterprise, although the shares were bought by a fund run by the state-owned Krung Thai Bank.
Removing its status as a state-owned enterprise is a condition of the restructuring which is been handled through bankruptcy protection.
To further the goal of making the airline more independent from the state, Thailand’s ministry of transport announced it will nominating four ‘professionals’ to the new Thai Airways board.
No names have been mentioned but at least some are expected to be industry experts capable of running an airline in a competitive market.
These nominees will be in charge of the airline during the court-monitored rehabilitation.
With a 47.86% stake, Thailand’s finance ministry still remains the largest single shareholder and could divest more of its stake in the future when the global aviation market improves.
Most of Thai Airways’ planes remain grounded with just a skeleton domestic service operating at the moment, as well as a few repatriation flights.
Nearly a third of the airline’s workforce of 22,000 has been informed they will be laid off.
