Insolvent Air Berlin sells its subsidiary to Thomas Cook
January 4, 2018: Over the last few months, quite a few leading airlines hit the headlines for getting liquidated. In a recent development Germany's second biggest airline Air Berlin's subsidiary Air Berlin Aviation GmbH that hit the bankruptcy buzzer couple of months ago was bought over by the British tourism group Thomas Cook.
The buyout brings to an end the story of one of Europe's largest network airlines, which went belly up. It has also received approvals from the creditors' committee for Air Berlin Aviation's buyout.
According to reports, the cash-strapped German carrier, Air Berlin went bust soon after Etihad its part-owner Etihad Airways refused to ploughing funds into the struggling company.
Reports indicate that couple of months back, Etihad Airways had loaned $294 million to keep the beleaguered Air Berlin afloat.
Subsequently, the German government had bailed the airline with an interim funding of %u20AC150 million, to keep the struggling airline to overcome its financial problems.
The company is yet to be founded and does own any aircraft. However, reports suggest that it's expecting to soon procure the permit for flight operations (AOC) shortly. It will subsequently provide six aircrafts to the German Thomas Cook airline%u2014Condor.