Willemstad- After a period of intensive negotiations, the shareholders of Insel Air have reached an agreement with InterCaribbean Airways as strategic partner for Insel Air. This has been communicated by the Ministry of Economic Affairs in Willemstad.
InterCaribbean Airways has been interested in Insel Air for some time and have started negotiations since July. This has led to an agreement whereby InterCaribbean Airways will acquire 100% of the shares of Insel Air, while the Government of Curaçao will retains the right to the potential proceeds of 51% of the shares.
The process that is now continuing further implies that the prosecutor will submit a debt repayment proposal to the court. This proposal is then available to the creditors, who in turn can agree to this on 4 December or not. If they do not agree, Insel Air will be declared bankrupt. If this proposal is accepted, InterCaribbean Airways will have the task of guaranteeing the continuity of Insel Air and will, in order to further develop Insel Air, make capital and aircraft available.
InterCaribbean Airways is a company that has been established for 26 years in the Turks and Caicos Islands. The company has 20 aircraft and already serves 22 destinations in the Caribbean.
For the operation on Curaçao, InterCaribbean Airways will make available 30-seater EMB120 turboprop aircraft, with a seating capacity of 30 seats as well as an ER145 jet aircraft, with a capacity of 50 seats.
Shareholders and creditors
The BES-Reporter understand that the shareholders still have to sign on to the agreement on the table. The agreement would also see a payout of 3000 guilders (about 1700 US Dollars) per creditor. This is only a fraction of the outstanding bill of many creditors.
The Bankruptcy Court-appointed guardian, Rogier van den Heuvel said he feels that this is the best possible offer for the creditors, given the precarious situation of the airline company. In an earlier stage Van den Heuvel dismissed a possible interest from the Miami OneLaser group as “not sufficiently concrete”.