Qazaq Air, Kazakhstan's interregional airline, finds itself embroiled in a struggle for privatization as it gears up for its third auction. The announcement comes from Saltanat Satzhan, Managing Director for Development and Privatization of the Samruk-Kazyna National Welfare Fund. As per to a report from Tengrinews.kz on February 22, the airline's value is estimated at 10 bn tenge ($22.1 mn), with an accompanying debt of 38 mn tenge ($84,240) owed to the National Fund.
The decision to initiate a third auction follows two unsuccessful attempts, where no viable proposals were tabled by prospective investors. Satzhan highlighted the persistent interest from both domestic and foreign investors in acquiring Qazaq Air. Despite this interest, no investor has been willing to commit under the current conditions, particularly concerning the obligation to clear the outstanding debt associated with the airline.
Established by the National Welfare Fund Samruk-Kazyna, Qazaq Air's primary objective is to enhance the safety and accessibility of interregional air travel within Kazakhstan and the border regions of neighboring countries. However, the inability to attract investors willing to meet the stipulated terms poses a significant hurdle to the privatization process.
Earlier Daryo reported that Uzbekistan Airways, the national airline, is set to undergo an evaluation for an international credit rating and is gearing up to offer shares on the stock market. In the preceding year, the airline acquired 28 new aircraft, expanding its fleet to a total of 15, which includes 10 privately-owned carriers. Over the course of the last seven years, there has been a twofold increase in the number of flights, while passenger traffic at Samarkand airport has surged fourfold.
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