Air Vanuatu has released the following updated statement today (10 May 2024):
Morgan Kelly, Justin Walsh and Andrew Hanson of Ernst & Young Australia (EY Australia) have been appointed Voluntary Liquidators of Air Vanuatu (Operations) Limited (In Liquidation), by a Special Resolution of Shareholders made pursuant to section 14 of the Companies Act No 03 of 2013.
The appointment follows a challenging period for the global aviation industry, including labour shortages, inflation affecting input costs and a global increasing cost of credit environment. Air Vanuatu has been particularly affected by disruption of tourism activity due to cyclones.
The Liquidators have taken control of the business today and will conduct safety and maintenance checks before the resumption of normal operations. The Liquidators intend to resume normal trading as soon as possible, while considering all opportunities to place the carrier on a stronger footing.
Affected travellers will be informed of this disruption and rebooked on flights as soon as operations resume.
The existing management team will remain in place and will work closely with the Liquidators through this process.
“Air Vanuatu is critical to the people of the Republic of Vanuatu and a strategically important business to the nation. Our team is working closely with management to ensure continuity of service to customers and to ensure services continue as seamlessly as possible,” said Morgan Kelly, Partner in Strategy & Transactions at EY.
“The outlook for the airline is positive, despite pressures on the broader industry, and we will be focused on securing the future of this strategically vital national carrier.
“EY Australia has a significant and successful track record working with aviation operators and airlines globally, utilising our highly experienced restructuring team,” concluded Mr Kelly.
The first meeting of creditors will be scheduled shortly.
