Originally Posted by
fernlee
It’s possible the owners simply have not got the funds needed at present , To me that’s the only explanation , I cannot see them just sitting back and letting the airline go over a cliff .
There is another rational explanation
Suppose you own a business. You bought it recently for peanuts but have now realised it is much worse shape than previously thought. It has been making a loss in recent years, despite your competitors making healthy profits. It needs £100m right now to survive. It will probably need an extra £100m in about a month's time due to temporary decline in sales so as to pay business costs. That £200m will be spent on day-to-day expenses which you will never get back - eg salaries
You expect in 3 years time once the business is turned around, the company will make profits, maximum £10m per year in a good year, less in a bad year
Would you invest money in this company, knowing that you need 20 good years in a row just to make your money back, even longer if there are bad years or recessions ?