JOHN’S, Antigua--Business magnate Sir Richard Branson is reported to be interested in investing in cash-strapped regional airline LIAT.
Chief of Staff within the Office of the Prime Minister in Antigua and Barbuda, Lionel Hurst told reporters following a Cabinet meeting that discussions had been held with the British business magnate, investor and philanthropist. He said the talks involved helping the Antigua-based LIAT out of its struggling financial situation to become a profit-making enterprise.
“The entrepreneur has proposed investing several million dollars. He would wet lease several aircraft – jets – and they would fly from Fort Lauderdale, [Florida – Ed.], to Jamaica, Haiti and down into Antigua and Barbados. The whole idea is to enlarge LIAT, rather than collapse LIAT or making it a smaller entity,” Hurst said, explaining that this would allow the air carrier to fly to destinations outside the region.
He added that the Virgin Group founder would not put his resources into a smaller LIAT that would not be able to achieve a profitable status.
“There just is not [enough] passengers and other kinds of possibilities to make LIAT profitable within the Caribbean,” Hurst said.
Meanwhile, according to the Antigua Observer newspaper, the government of Antigua and Barbuda is having discussions with Barbados – LIAT’s largest shareholder – to purchase its shares in the regional carrier.
The newspaper quoted Hurst as saying that Barbados has indicated its shares in LIAT have been a burden on the country.
However, he said the value of Barbados’ shares in LIAT has not yet been determined.
LIAT shareholders met in Antigua last week and agreed to further examine a proposal by host Prime Minister Gaston Browne regarding the future direction of the airline. ~ Caribbean360 ~
