UK cash shell company Ridgecrest plans a reverse takeover of Romanian budget carrier Blue Air.
The plan would see Ridgecrest acquire Blue Air holding company Airline Invest.
Blue Air is based in Bucharest and has operations at Turin airport with a fleet of Boeing 737s.
The airline was profitable before Covid-19 impacted its operations, with a pre-tax profit of €6.75 million for the 12 months ended September 30, 2019.
It is reportedly the largest Romanian airline by scheduled passengers flown, having carried more than 32 million passengers in its 16 years of operation.
The deal, classified by the London Stock Exchange as a reverse takeover, remains subject to a number of matters including completion of a fundraising to be undertaken by Blue Air.
The transaction is proposed to be carried out through the issue of new shares to Airline Invest sole shareholders Cristian Rada and his brother, Ridgepoint said in a stock exchange announcement.
The firm added: “It should be noted that the proposed transaction is at a preliminary stage and there can be no guarantee that it will complete nor as to its final terms.”