Travel News
Airlines announce sale of NATS stake
by Gareth Robertson June 5th, 2012
A group of UK airlines has announced plans to sell off its stake in the country’s air traffic control service National Air Traffic Services. The move comes despite an apparent decision by the government to give up on plans to sell its share of the part-privatised company.
NATS is 42 per cent controlled by a group of seven airlines including Virgin Atlantic, British Airways and easyJet. The companies are hoping that a buyer or buyers for their stake will come forward before the end of the year.
The original plan was to sell NATS along with the government’s share which is a 49 per cent stake. The government had been hoping to raise some £250 million through the sale. However experts are attributing a change of heart by ministers to fear that there could be a significant public backlash against a government seen to be disposing of a major strategic asset.
Shadow Transport Secretary Maria Eagle said the proposed sale by the government was ideologically driven and reckless. She called on the Coalition at the weekend to confirm that it understood how vital it was that NATS remained in the hands of the government as it was not a burden on the taxpayer and is a key strategic asset.
A potential buyer for the airline’s stake in the air traffic control service is German air traffic controller DFS. This could be widely criticised if allowed to go ahead. Other interested parties include trade buyers, pension funds and infrastructure funds.
Has anyone else heard about this?