The recently bankrupt Cimber Sterling found some takers. According to a press release, curator has agreements in place to sell the company in two parts, with former top management taking the other and the previous owner Mansvell grabbing the remains. Mansvell will acquire Cimber Air Maintenance Center and Cimber Air Data and operate them under Skyways brand. This will save a few dozen jobs.
SAS Ab (OMX: SAS) said in a Danish press release that former Cimber Sterling deputy CEO Jacob Krogsgaard, Former COO Jørgen Nielsen and former CLO Alex Dyrgaard will start a new company called Cimber A/S, which will continue to fly the four SAS routes with around 30 daily flights. The agreement is in place and the pilots will be mainly from SAS and cabin crew will consist of former Cimber Sterling employees.
Showing posts with label Cimber. Show all posts
Showing posts with label Cimber. Show all posts
Wednesday, 16 May 2012
Thursday, 3 May 2012
Cimber Sterling files for bankruptcy
Danish airliner Cimber Sterling Group (DC: CIMBER) has filed for bankruptcy. The company has been making heavy losses for quite some time. It has been surviving on capital injections from the majority owner Mansvell Enterprises Ltd, a company controlled by Ukrainian billionaire Igor Kolomoisky. Most of last year there were speculations on a potential merger with other Mansvell controlled company Avia Express Sweden AB (Skyways).
In the company release this morning, Cimber Sterling said that the owners have decided not to support the airliner financially any longer. Therefore the Board of Directors has decided the declare bankruptcy, with the declaration handed to Sønderborg court this morning. The management said it will work closely with the court appointed curator to ensure as much value for the company as possible. Their suggestion to the curator is to continue to fly the four flights the company operates for SAS and to possible operate more in a reconstructed manner with the aim of being bought. More information should come within a few days.
The situation is certainly troubling for current ticket holders and the near 900 employees, not to mention the shareholders. The company points customers to go to their website, which however isn’t currently operational. The standard Travel Guarantee Fund rules should apply. Other airliners appear to be stepping in to some of the made available routes. The motivation behind the owners’ decision is also being speculated upon, since they haven’t likely given up on creating a Nordic airliner.
In the company release this morning, Cimber Sterling said that the owners have decided not to support the airliner financially any longer. Therefore the Board of Directors has decided the declare bankruptcy, with the declaration handed to Sønderborg court this morning. The management said it will work closely with the court appointed curator to ensure as much value for the company as possible. Their suggestion to the curator is to continue to fly the four flights the company operates for SAS and to possible operate more in a reconstructed manner with the aim of being bought. More information should come within a few days.
The situation is certainly troubling for current ticket holders and the near 900 employees, not to mention the shareholders. The company points customers to go to their website, which however isn’t currently operational. The standard Travel Guarantee Fund rules should apply. Other airliners appear to be stepping in to some of the made available routes. The motivation behind the owners’ decision is also being speculated upon, since they haven’t likely given up on creating a Nordic airliner.
Sunday, 18 December 2011
Terrible interim numbers from Cimber Sterling, pushes ahead with new strategy
Cimber Sterling's (CPH: CIMBER) quarterly accounts released last Wednesday were a stark reminder of the hardships that small airliners face. The company described its Q2 2011/12 performance as highly unsatisfactory. The airliner lowered its sales and profit guidance for the full business year. Revenue is expected to come in at around 2 billion DKK (2.1) and EBIT to show a loss from 160 to 200 million (20-60 million in losses). The company blamed increased competition and escalating Euro crisis for the outlook decline.
Cimber Sterling’s Board of Directors and Executive Board have together with the majority shareholder Mansvell Enterprises Ltd agreed on a new three-year strategy with the aim to make Cimber the leading regional airline in Nordic region. The oft speculated closer collaboration with Skyways is on its way and Cimber will focus on domestic traffic in Denmark and Sweden, regional travel to and from Scandinavia and over the longer haul in the entire Northern Europe. Leisure travel from smaller cities outside of capital to holiday destinations will remain a focus area.
In order to reach their goals, several cost-cutting and route optimizing measures have been started. The company admits it has suffered from quality problems, with many flight cancellations and vows to rectify that. The company will do away with its Boeing 737 aircraft and focus on smaller planes. A New CFO was hired couple days before the interim numbers were released and CEO switch took place in late summer.
CEO Palmér told newspaper Jyllands-Posten that Manswer, controlled by Ukrainian billionaire Igor Kolomoisky, has promised to continue to provide additional capital to see through this process. Manswer has since its summer capital injection invested some additional capital to the company. Should the current trend continue, further injections will be needed. The present subscription agreement with Manswell allows Kolomoyski to raise his stake in Cimber Sterling to around 70%. Cimber Sterling was down nearly 25% in the week, but gained half of that back on Friday.
Cimber Sterling’s Board of Directors and Executive Board have together with the majority shareholder Mansvell Enterprises Ltd agreed on a new three-year strategy with the aim to make Cimber the leading regional airline in Nordic region. The oft speculated closer collaboration with Skyways is on its way and Cimber will focus on domestic traffic in Denmark and Sweden, regional travel to and from Scandinavia and over the longer haul in the entire Northern Europe. Leisure travel from smaller cities outside of capital to holiday destinations will remain a focus area.
In order to reach their goals, several cost-cutting and route optimizing measures have been started. The company admits it has suffered from quality problems, with many flight cancellations and vows to rectify that. The company will do away with its Boeing 737 aircraft and focus on smaller planes. A New CFO was hired couple days before the interim numbers were released and CEO switch took place in late summer.
CEO Palmér told newspaper Jyllands-Posten that Manswer, controlled by Ukrainian billionaire Igor Kolomoisky, has promised to continue to provide additional capital to see through this process. Manswer has since its summer capital injection invested some additional capital to the company. Should the current trend continue, further injections will be needed. The present subscription agreement with Manswell allows Kolomoyski to raise his stake in Cimber Sterling to around 70%. Cimber Sterling was down nearly 25% in the week, but gained half of that back on Friday.
Monday, 1 August 2011
Cimber Sterling Mansvell directed issue gets shareholder approval
Cimber Sterling Group’ (CPH: CIMBER) EGM this morning “overwhelmingly” accepted the capital increase via direct issue Mansvell Enterprises Ltd, a company controlled by billionaire Igor Kolomoisky, which was driving merger speculation led advance last week. The stock opened 8% higher.
Sunday, 24 July 2011
Merger rumours make Cimber Sterling soar
Danish airliner Cimber Sterling Group (DC: CIMBER) took off on Friday on rumours of impending merger with Skyways Express. The company later dismissed those rumours, that had stemmed from CEO’s interview with business.dk, in a murky stock exchange release, but commented: ”Cimber Sterling has no knowledge of the potential new major shareholder's plans with Cimber Sterling, except their intention to create a Nordic airline”
The background of this story is that last month the struggling airliner entered into a non-binding term sheet with Mansvell Enterprises Ltd, a company majority owned by Ukrainian billionaire Igor Kolomoisky, for a potential capital injection via a directed issue of shares. If completed the deal would make Manswell the majority shareholder in Cimber Sterling with a 66.7% stake.
Manswell has recently acquired the previously mentioned Avia Express Sweden AB (Skyways) and Skyways recently bought another Swedish firm City Airlines . All of this explains how the CEO cannot outright deny that a merger is a possibility. Cimber Sterling ended up more than 50% for the day.
The background of this story is that last month the struggling airliner entered into a non-binding term sheet with Mansvell Enterprises Ltd, a company majority owned by Ukrainian billionaire Igor Kolomoisky, for a potential capital injection via a directed issue of shares. If completed the deal would make Manswell the majority shareholder in Cimber Sterling with a 66.7% stake.
Manswell has recently acquired the previously mentioned Avia Express Sweden AB (Skyways) and Skyways recently bought another Swedish firm City Airlines . All of this explains how the CEO cannot outright deny that a merger is a possibility. Cimber Sterling ended up more than 50% for the day.
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