Breaking Travel News
Air Mauritius latest to enter voluntary administration

Air Mauritius latest to enter voluntary administration

Flag-carrier Air Mauritius has entered voluntary administration having been overwhelmed by the coronavirus pandemic.

In a tough week for airlines, the carrier follows Virgin Australia in making the move, while South African Airways is teetering on the edge. 

Air Mauritius had already embarked on a transformation programme in January this year under which it was reviewing its business model in a bid to secure sustainability.

However, this work appears to have been unsuccessful.

In a statement, the board of directors at Air Mauritius said while “substantial progress” was made in developing its action plan, the closure of borders and halting of air services because of the coronavirus has led to a “complete erosion of the revenue base”.

Air Mauritius was forced to halt all flights at the start of April because of coronavirus restrictions.


The suspension was extended on April 9th, with no flights now expected until at least May 15th.

“There is uncertainty as to when international air traffic will resume and all indications tend to show that normal activities will not pick up until late 2020,” the airline said.

“In these circumstances, it is expected that the company will not be able to meet its financial obligations in the foreseeable future.

“The board therefore took the decision to put the company under voluntary administration in order to safeguard the interests of the company and that of all its stakeholders.”

Administrators from Grant Thornton have been appointed.

Despite an improved performance for the three months ending December, Air Mauritius posted a net loss of €14.9 million at the nine-month stage in its most recent financial results.

IATA earlier warned there was a high probability of more airlines facing financial difficulties in the near future, with the organisation urging governments around the world to step in and help.