Government reduces stake in Thai Airways

Sunday, 25 May, 2020 0

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.

below social share icons

TravelMole Editorial Team

Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.

Central Florida’s Polk County is conveniently located between Orlando and Tampa, and an easy drive to Central Florida attractions and...

We understand the importance of personal touch We do things a bit differently at Eventsquid. We know that we could...

We work with reliable data providers with global coverage, that guarantee data representativeness as well as compliance with International Personal...

If you’re thinking of cruising, there’s a very good chance you’re considering a Carnival cruise. Growing since our founding in...

Take your clients’ vacation to the next level at Universal Orlando Resort™. With three amazing theme parks – Universal Studios...

Some describe it as a natural playground. Some say, it’s simply unique as it offers a great array of travel...

The Mexico Tourism Board serves as the driving force behind Mexico’s global appeal, orchestrating targeted marketing campaigns to showcase the...

The Detroit Metro Convention & Visitors Bureau (DMCVB) is the only organization that promotes metro Detroit regionally, nationally and...

With long periods of Thailand’s History, according to evidences and studies, Sukhothai was the first kingdom of Thailand. At that time, an early Thai...

Travel Outlook, the premier hotel call center™ Travel Outlook is an innovative, custom off-site central reservations office (CRO) service that...

We are the UK’s leading Canada travel experts Canadian Affair Company Information Founded in 1995, Canadian Affair offers an...

Centara Hotels & Resorts is Thailand’s leading hotel operator. Its 93 properties span all major Thai destinations plus the Maldives,...

Located in the heart of the Northeast and within easy driving distance of a third of the population of the...

Classic Collection is where travel expertise and personal service combine to create the perfect luxury holiday. Our travel agent partners...

Our leadership is bold. Our agility thrives on open innovation and we embrace the new, whether it’s diversity, trends, challenges....

We’re the number one choice for travelers to the Greek Islands and Eastern Mediterranean – a fact we love to...

Nium was founded on the mission to build the global payments infrastructure of tomorrow, today. With the onset of the on-demand...

Hilton is a leading global hospitality company with a portfolio of 22 world-class brands comprising nearly 7,300 properties and more than 1.1 million rooms, in...