Croatia Airlines (OU, Zagreb Franjo Tuđman) owner, the Croatian government, will resume the carrier's privatization process in autumn of this year EX-YU Aviation News reports. Zagreb will initially identify a suitable consultancy firm to oversee the process with a sale scheduled for the first half of next year should a viable strategic partner be found.
Quoting anonymous sources close to the airline's operations, the news site says the decision to push ahead with Croatia Airlines' sell off comes after the European Union requested a proposed timeline for the process by the end of October.
Croatian Minister for Sea, Transport and Infrastructure, Siniša Hajdaš Dončić, has warned, however, that all bidders will be subject to intense scrutiny to ensure the airline is not sold to a predatory carrier. However, should all provisions be met, Zagreb says it would be willing to dispose of a 49% stake while enacting legislation to allow for the swift privatization of the carrier.
Following a failed previous attempt at selling off the carrier in 2012, Zagreb instituted a restructuring programme at the airline which aims to cut its staff overhead by 10% while returning it to profitability.
