NSB to go on a roadshow to pitch national carrier
View(s):The National Saving Bank (NSB), lead manager to Sri Lankan Airlines impending Request for Proposal (RFP) to select a partner to restructure the national carrier, is searching for an investment banker to assist its financial advisory, KPMG prepare this RFP. Kabir Hashim, Minister Public Enterprise Development told the Business Times that along with the RFP a bid proposal will be drafted which will entail a roadshow to pitch the airline to suitable partners. He said based on the proposals they will look for an equity or a management partner to run the airline. “We’re looking for expertise on a restructuring model for Sri Lankan and then we’ll pitch it to prospective parties on the roadshow.”
Mr. Hashim said the roadshow will be on in about a month. Some top officials from Qatar Airlines came to Sri Lanka in January and had unofficially expressed their interest in the national carrier. Industry sources said that Etihad was another such interested party. Prime Minister Ranil Wickremesinghe has said that the state will absorb the SriLankan Airlines debts amounting to a staggering US$ 3.2 billion and also ordered the airline to immediately cancel the order of four A350 aircraft. SriLankan which recorded a profit of Rs. 4.4 billion in 2008 nosedived to a whopping loss amounting to Rs. 107 billion, in the last regime. -(Duruthu)