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National carrier: ‘Nigeria Air’ unveiled at Farnborough Airshow, targets 81 routes
#1
FEDERAL Government of Nigeria, through the Minister of State for Aviation, Senator Hadi Sirika, today revealed the branding and livery for the new national Flag Carrier Nigeria Air due to be launched at the end of this year stating that it has selected 81 for domestic, regional and international operations for the airline.


The Minister also stated that government will come up with initial funding for this new venture.

Sirika who made this known during a Press Conference launching Nigeria Air at the Farnborough Air Show in London today said with regards funding government will not have more than 5% government share.

Senator Sirika said, “Government will not hold shares beyond 5% at the topmost. This airline is having the backing of the government. Government will come up with start-up funding according to the business case that has just been delivered to it.”
“We have selected 81 routes. 40 for domestic, regional and sub-regional and of course international routes about 41.”
“I am very pleased to tell you that we are finally on track to launching a new national flag carrier for our country: Nigeria Air.  We are all fully committed to fulfilling the campaign promise made by our President, Muhammadu Buhari in 2015.  We are aiming to launch Nigeria Air by the end of this year”.

He continued: “I want to personally thank our Transaction Advisers, led by AMG, and the special Task Force, who have worked diligently to achieve the results so far and overcome the challenges involved. We obtained the Certificate of Compliance from the Nigerian Infrastructure Concession Regulatory Commission (ICRC) two weeks ago and can now go into the investor search. I am confident that we will have a well-run national flag carrier, a global player, compliant to international safety standards, one which has the customer at its heart. We hope to establish an airline that communicates the essence of our beautiful country, an airline we can all be proud of.”
The minister continued: “‘Following extensive market research, the branding of our new airline, Nigeria Air, demonstrates a true flag carrier of our nation, soaring through the skies in the shape of our nation’s eagle.”

The branding and naming of the new national carrier comes on the back of a social media campaign undertaken under the auspices of The Ministry of Transportation (Aviation) which invited Nigerian youth and students for their input and creativity to come up with a name for the new Nigerian flag carrier. The Facebook page and websitenameyourairlinenigeria engaged over 400,000 people up until the deadline for submissions, which was on 25th June 2018.
In addition, detailed and extensive market research was commissioned by the Ministry of Transportation (Aviation), which involved focus groups across Nigeria and over 100 interviews with aviation stakeholders and professionals, politicians, Nigerian business owners, students and a broad spectrum of people across Nigeria.

The research concluded that Nigeria is a proud nation with diverse populace, a strong cultural heritage and a people that are hungry for a unifying national flag carrier.

The Ministry of Transportation (Aviation) is also currently running an aviation road map that includes airport concessions, Aerotropolis, an aircraft Maintenance, Repair and Overhaul (MRO) Center, agro allied terminals, the National Carrier and an aircraft leasing company.
The Nigerian Government will support the launch of the new flag carrier with viability gap funding, in a Public Private Partnership (PPP) arrangement to deliver a national flag carrier, guided by the international ICAO standards, that will stand the IOSA audit from the start, and lead to a fast IATA membership for international operation.
He assured Nigerians and the international community that government had learnt a lot of lessons from the experience of the defunct Nigeria Airways, and now determined not to repeat the mistakes that led to its demise. This, he said, informed the decision to take the Public Private Partnership (PPP) approach.
He explained that the unveiling of the airline at the Farnborough International Airshow was cognisant of the fact that being the largest congregation of global aviation industry players, the event affords the best opportunity to market the airline to prospective investors and register it in the minds of all stakeholders ahead of its formal launch billed to take place in Abuja before the end of the year.


https://nigerianflightdeck.com/2018/07/national-carrier-nigeria-air-unveiled-at-farnborough-airshow-targets-81-routes/
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#2
Nice move
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#3
FG to pursue Fly Nigeria Act as Sirika explains Nigeria Air’s majority stake

MINISTER of State Aviation, Sen. Hadi Sirika has said that the Federal Government will aggressively pursue a fly Nigeria Act as part of plans to make Nigerian airlines including the new national carrier, Nigeria Air viable and competitive.
This is just as the Minister  clarified who the owners of the 95% equity for Nigeria Air are, stating that the ownership of the carrier is in no way shrouded in secrecy.
Sirika indicated that the Ministry will liaise, lobby and interact with the legislative arm of government to ensure passage of the Act aimed at curbing capital flight and protecting domestic airlines.
He said, “As part of efforts to make airlines viable in Nigeria, the ministry is making moves to have the National Assembly pass a fly Nigeria act.”

“This act will require that anybody travelling on a ticket bought with public funds must travel on a Nigerian carrier unless the route is not served by a Nigerian carrier. However, with your private funds you can do as you like. Many countries including America has such as Act.”


Addressing some of the misconceptions making rounds on Social Media and other official quarters, Sirika said at start-up, government will own majority equity in Nigeria Air Limited Joint Venture Company.
After one year of operations, he explained, government will through an Initial Public Offer (IPO) divest her equity for purchase by Nigerians subject to approval of the Securities and Exchange Commission.

He said that the remaining 95% equity will be owned by a strategic partner and Nigerian investors with the Nigerian investors owning majority shares explaining that this will enable the carrier access its Bi-lateral Air Services Agreements ( BASA) and other benefits.
“At start-up government will own majority equity in Nigeria Air Limited Joint Venture Company. A Joint Venture Company that would be very similar to Nigeria LNG Limited. Nigeria LNG Limited is a huge JV success that is private sector managed so will Nigeria Air Limited. After one year of operations, government will through an IPO divest her equity for purchase by Nigerians subject to approval of the Securities and Exchange Commission. Government will then retain only 5% equity. ”

“The rest of 95% equity of Nigeria Air Limited will then be owned by the strategic equity investor and the general public. Majority ownership must however remain with Nigerians so that the national carrier can benefit from BASA and other bilateral agreements which require local beneficial ownership as a condition precedent. Management of the national carrier will be concessioned to the strategic equity investor with no step in rights and management control by government. Signed up acceptance and approval of the management concession agreement will be a condition precedent for the IPO.”
On why it’s seems the 5% equity holder funding the business, Sirika said government isn’t funding the entire project but bringing start-up capital.

He said,”The Government is not funding the entire project. It’s just providing startup capital in the form of an Upfront Grant/Viability Gap Funding. Once the strategic equity investor is in place, they will be expected to build on the initial investment made.
The OBC made it clear that the strategic equity investors will not start the national carrier; government has to start it in order to attract credible investors.”

On a lighter note, Sirika talked about the domain name that created the most buzz at the weekend stating that those Nigerians that planned to hawk domain names should ‘eat’ their names.
He said,”Further to the incorporation of the company with nominal directors the domain name http://www.flynigeriaair.ng has been reserved and will be made active very soon as part of the project evolution and marketing process. Some people whose only desire is to steal Nigeria’s common wealth by hawking domain names will not a get a kobo from the people of Nigeria. They can eat their domain names.”

He finally called for constructive criticism as the hallmark of democracy stating that spreading falsehood does the nation and people no good service.
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