Rivals circling to snatch landing slots
Rivals have begun circling the carcass of collapsed airline Monarch in the hope of bagging its landing slots as the firm’s administrator prepares to carve up its assets.
The likes of easyJet, WizzAir, Norwegian Air Shuttle and British Airways owner IAG are understood to be mulling moves for the carrier’s slots in Manchester, Gatwick, Birmingham, Luton and Leeds-Bradford.
It comes after Monarch’s private equity owner Greybull called in administrators to the firm in the early hours of yesterday.
Greybull cited a highly competitive market, terrorism and the collapse in the value of the pound as factors contributing to the demise.
A sale of the group is not thought to be on the cards and it is likely that parts of the carrier, including its take-off and landing slots, fleet of aircraft and buildings, will be sold off piecemeal.
The entire process is expected to take between four to six weeks and it also means that the bulk of Monarch’s 2,100 staff are likely to face redundancy. The collapse of the Luton-based airline came as it was about to mark its 50th anniversary.
Robin Byde, transport analyst at Cantor Fitzgerald, said that Monarch’s assets would be attractive to easyJet in particular.
“Monarch assets may enable easyJet to increase frequencies on common routes, gain more attractive year-round and seasonal slots, and generally take market share.”
“Assets may enable easyJet to increase frequencies”