Deal Listings

Lonrho plans airline float

Dec 06/Jan 07 issue

David Lenigas, entrepreneurial boss of Lonrho Africa, says the emerging conglomerate plans an AIM float in the New Year for Norse Air, the African air charter and leasing company where Lonrho has bought a 43 per cent controlling stake for £3.15 million.

Norse, which works for the United Nations in the Congo and has clients including South Africa’s treasury and police, should double its revenues this year to $30 million (£15.8 million), argues Lenigas, and could repeat the performance again in 2007.

Under the share deal, Lonrho, itself AIM-quoted, has the right to appoint a chairman to Norse Air, whose chief executive officer David Avnit and managing director Nadja Avnit will continue to run the business and are locked in as shareholders for another three years.

The company came to Lonrho through broker WH Ireland, which had originally thought of floating it direct. The terms of any Norse Air float are yet to be worked out.