An “EU based airline group” has signed a non-binding agreement with Bmi for the sale of Bmibaby, adding to a similar agreement already signed with a UK company.
Bmi’s owner Lufthansa is trying to offload Bmibaby before it completes the sale of Bmi to British Airways owner International Airlines Group for £172.5 million.
“This potential new owner, which has operations in several countries across Europe, would acquire 100 per cent of the shares of Bmibaby,” said Bmi in a statement.
“This would include the aircraft fleet, the existing route network and the continued employment of the existing staff.
“This non-exclusive term sheet is in addition to the term sheet already signed with a UK-based company in January 2012. Bmi plans to sign a definitive sale purchase agreement with one of the parties in the next few weeks. The completion of the transaction would occur shortly after this, subject to receiving all the necessary approvals.
“The Bmibaby brand name would continue to be used for an interim period and Bmibaby’s head office would remain in the East Midlands with the airline continuing to operate from its existing bases in the UK.”
Bmi’s CEO Wolfgang Prock-Schauer said that Bmibaby had “attracted a great level of interest and our discussions open up great future prospects for the airline and its employees”.
Lufthansa signed an agreement in principle to sell Bmi to the IAG in December but the price of the deal will be reduced if Lufthansa does not sell Bmibaby before the deal is completed.
IAG’s chief executive Willie Walsh said last week that the company had drawn up plans for what to do with Bmibaby if it ends up acquiring the airline.