The Argentine government has sounded out Amaszonas (AZN, La Paz El Alto) over its possible investment in semi-defunct domestic operator Sol Líneas Aéreas (Rosario Islas Malvinas).
Buenos Aires' approach of a foreign partner follows the recent collapse in talks with three local firms - bus company firm Via Bariloche, American Jet (Argentina) (AJB, San Fernando, AR), and Pacific Ocean (San Fernando, AR) - all of which reportedly baulked at the prospect of inheriting Sol's debt, estimated to stand at ARS200 million (USD14.37 million), as well as its staff compliment of 220.
According to Todo Noticias, Argetina's Ministry of Transport has now approached Amaszonas in light of its recent expansion into the South American market. Last year it established Amaszonas Paraguay (Asunción) in partnership with former Sol shareholder Air Nostrum (YW, Valencia Manises) while also acquiring a moribund BQB Líneas Aéreas (Punta del Este) in Uruguay.
Sol collapsed earlier this month after Aerolíneas Argentinas (AR, Buenos Aires Jorge Newbery) rescinded a long-standing Capacity Purchase Agreement which had propped up the airline to the tune of ARS125 million (USD9.44 million) in subsidized funding. Without the indirect state assistance, the airline was forced to cease operations before filing for bankruptcy. The CPA's annulment also triggered Air Nostrum's withdrawal from its role as a strategic shareholder in Sol.
