Mexico Is Ready to Close Sale of Airline

The Mexican government was set Friday to close the sale of national airline Aerovias de Mexico (Aeromexico) for $340 million, the state-owned Banobras bank announced.

A statement from the bank, acting as agent for the sale, said papers would be signed Friday by a group of private investors and the government bank Bancomer for 75% of the stock of formerly state-owned Aeromexico.

The sale is part of the government’s program to rid itself of state firms deemed non-vital. The program has resulted in 700 entities being either closed, merged or sold in the last six years out of a total of 1,155 state firms.

The bank did not specify the amount of Bancomer’s stake but said these shares would later be offered to investors in the local market.

The remaining 25% is being offered to the national pilots union, ASPA, which has yet to close its financing.

The sale price for the airline with its 29-jet fleet was about $340 million, or 770 billion pesos.

The government in April declared Aeromexico bankrupt. It said the carrier was inefficient and was absorbing a subsidy of more than $100 million a year.

Aeromexico planes continued to operate on a provisional basis for five months before the renovated airline was unveiled in October and put up for sale.

Meanwhile, the Finance Ministry announced the sale of petrochemical firm Tereftalatos Mexicanos, which produces a chemical material used in polyester fabrics and certain plastics.

The government sold 42% of its shares to the firm Petrocel for $104 million, or 242 billion pesos. The World Bank-affiliated International Finance Corp. also sold its 16.9% interest in the firm to Petrocel.

State oil company Petroleos Mexicanos will retain 10% of the firm’s stock.