A Manchester-based ground handler is reported to have needed a multimillion pound rescue deal following the collapse of Monarch Airlines last week.
Airline Services, which provided cleaning and de-icing services for Monarch, secured the rescue from LDC, Lloyds Banking Group’s private equity arm, according to Sky News.
The firm employs 1,000 people across the UK and made pre-tax losses of £15 million in the two-and-a-half years to April 2016. LDC has backed the business since 2012.
Monarch’s collapse saw the demise of a major customer that accounted for a substantial proportion of its annual revenues, according to Sky.
It is understood LDC agreed to inject additional capital ahead of a potential attempt to sell it and Deloitte and PricewaterhouseCoopers have been brought in to advice.
Shawbrook, Airline Services’ main lender, was reported to be supportive of the rescue deal.
Sky said LDC could not be reached for comment.