As Elīna Lidere, adviser to the prime minister on strategic communication issues, informed the LETA agency, Siliņa emphasizes that the Ministry of Transport, as the holder of the control package of the airline, must implement the tasks given by the government.
“It is also the responsibility of the capital company itself to evaluate the risks and to act economically as a good and careful owner. Since politically we have given the Minister of Transport freedom of action, I expect from him an offer for the progress of this issue, including the management of the company,” says Siliņa.
The politician notes that it is about the important business interests of the Latvian state and “airBaltic”. “It is a company that transports thousands of people from many parts of the world every day,” says the Prime Minister.
As announced, the work of the board of the company is expected to be evaluated at the shareholders’ meeting of “airBaltic” on January 21 this year, according to Brišken’s announcement on social networks.
The minister emphasizes that “airBaltic” is a strategically important, exporting company for the country, which makes a direct contribution not only to the aviation industry, but to the entire economy of Latvia. In order for the company to continue growing, its management has promised to attract 300 million euros of private capital for the implementation of the business plan.
“You have to keep your promises and if circumstances change, you should always have a clear plan B. We evaluate the work of the Council and especially its chairman Klāvas Vaskas by results, correct and timely communication and the ability to manage the company even in challenging times,” Briškens writes.
“airBaltic” started the year 2025 with the announcement that this year due to delays in engine maintenance carried out by their manufacturer “Pratt & Whitney”, the airline will stop flights on 19 routes and reduce the number of flight frequencies on 21 routes this year. A total of 4,670 flights will be cancelled.
“airBaltic” will cancel flights on 10 routes from Riga during the summer season – to Aberdeen, Belgrade, Cluj-Napoca, Yerevan, Gothenburg, Mykonos, Pristina, Rzeszów, Skopje and Stavanger. On the other hand, during the summer season, flights to Dubrovnik and Hamburg will be canceled from Tallinn, from Vilnius – to Dubrovnik, Ibis, Rhodes, Chisinau, Tel Aviv and Valencia, and from Tampere – to Rhodes.
After the airline’s announcement, Briškens announced in a post on the “X” social network that he had been instructed to immediately explain the validity of the decision to cancel flights and the impact on Latvia’s connectivity to the board of “airBaltic”.
At the same time, Briškens expressed that the management of “airBaltic”, including the chairman of the board Martin Gaus and the chairman of the council Klāvas Vaskas, have the obligation to realize their promises to attract capital in the amount of 300 million euros for the implementation of the business plan, as well as to ensure that the operations of “airBaltic” comply with the Latvian state and interests of passengers.
It was also reported that on August 30, 2024, the government agreed in the closed part that the share capital of “airBaltic” in preparation for the IPO will be reduced by 571.293 million euros and the share structure of the existing company will be simplified, but according to “Firmas.lv” data, the changes are still have not been carried out.
According to the regulations of the share capital reduction, the share capital of “airBaltic” will be reduced to 25.179 million euros.
It was also reported that the government of Latvia agreed in the closed part of the meeting on August 30 that the state should retain at least 25% plus one share in the company’s capital after the IPO of “airBaltic” shares.
Brišken previously explained that there are no negotiations with the strategic investor of “airBaltic” about the sale of a controlling stake, but about acquiring a minority stake before the IPO or on the way to the IPO, as well as possibly participating in the IPO.
It is also reported that the business news agency “Bloomberg”, referring to informed sources, previously reported that the German national airline “Lufthansa” is considering the possibility of purchasing “airBaltic” shares.
On the other hand, the “de facto” program of Latvian Television reported in September 2024, referring to the information at its disposal, that it was being considered to sell 10% of the shares to the strategic investor of “airBaltic”.
Briskens has so far not officially revealed whether the potential strategic investor is the German airline “Lufthansa”, as well as how many shares of “airBaltic” could be sold to the investor and for what amount. “The work continues. There must be a mutual agreement to disclose such information. By the time the transaction documents are concluded, both parties will immediately comment on it,” the minister said earlier.
At the same time, the minister previously emphasized that the responsibility for raising capital rests with airBaltic’s executive director and chairman of the board, Gausa, and airBaltic’s board chairman, Vaska. “The work of the company’s management will be evaluated according to the results achieved,” said the minister.
“airBaltic” transported a total of 4.536 million passengers in 2023, which is 35.7% more than in 2022, and made 44,100 flights, which is 18.3% more than the year before.
The audited turnover of “airBaltic” in 2023 amounted to 664.289 million euros, which is 33.2% more than in 2022, and the company also made a profit of 33.852 million euros, in contrast to losses the year before.
The Latvian state owns 97.97% of “airBaltic” shares, while “Aircraft Leasing 1” owned by financial investor, Danish businessman Lars Tūsen – 2.03%.