Cash for Mexicana keeps it flying

INVESTORS have thrown troubled Mexicana a lifeline to keep it operational. Mexican consortium Tendora K bought a 95 per cent stake in the airline’s parent company, Nuevo Grupo Aeronautico. Mexico’s pilots’ union holds the other five per cent.

Tendora K said the purchase was “the first step to establish the conditions that will eventually allow for a process of restructuring that will require coming to financial, operative and labour agreements”.

Mexicana filed for bankruptcy protection this month and there have been strong rumours that it is planning on merging with Aeromexico.

Mexicana chief executive officer, Manuel Borja Chico, left the company on 20 August but his replacement has yet to be announced.