Monarch wins 12 month reprieve with £165m cash boost
Monarch has announced the biggest investment in its 48 year history as it seeks to allay concerns over its financial viability.
The carrier has received a £165 million investment from its majority shareholder, Greybull Capital.
As a result of this investment Monarch has successfully renewed its ATOL licences from the CAA for the next 12 months and funded future growth plans.
In October 2014, Monarch announced an order for 30 Boeing 737 MAX-8 aircraft, with options for a further 15 planes.
The first of these aircraft is due to be delivered in 2018.
The arrival of these state-of-the-art, fuel efficient aircraft in less than two years’ will enable Monarch to continue to provide passengers with a best in class inflight experience and allow the company to enjoy significant operational cost savings.
Andrew Swaffield, chief executive, The Monarch Group, commented: “It is testament to the extensive effort by all parties, over the past weeks and months, that we are able to announce the largest investment in our 48-year history, as well as the renewal of our ATOL licences.
“I’d like to thank the CAA, our shareholders, partners, loyal customers and the team at Monarch for helping us to achieve this successful outcome.
“We are now firmly focused on the future as a stronger Monarch.”
Seabury Group LLC and Seabury Securities served as financial advisor with respect to the recapitalisation.