Mayor of Vilnius says “strategic investor” could own 49%-51%
airLituanica is the name of a new airline being planned for launch in the Lithuanian capital Vilnius next year. The city’s mayor, Arturas Zuokas, famous for a publicity stunt last year in which he ran a tank over a car illegally parked in a cycle lane, says that the city authorities could have 34% ownership in the new airline, Lithuanian investors 17% and “strategic investors” 49%-51%.
Despite the fact that around 25 towns and cities with populations of at least 350,000 are situated within a radius of 500-600 km around Vilnius, two Lithuanian airlines have gone bankrupt since 2009 – flyLAL and Star1. This has largely been due to the intense low-cost competition in the region.
[pictured: The now-bankrupt Star1]