Kenya Airways (KQ) has formally withdrawn its Privately Initiated Investment Proposal (PIIP) intended to take over operations of the Jomo Kenyatta International Airport (JKIA).
The proposal was submitted to the Kenya Airports Authority (KAA), Public-Private Partnership Committee (PPP) and the national treasury in October last year, before it was rejected by MPs in February this year.
“The deal seems to only benefit KQ which is a loss-making institution compared to KAA which made a profit of Ksh3.8 billion,” noted Public Investments Committee chairman, Abdullswamad Nassir.
Read: Kenya Airports Authority Was Not Involved In JKIA Proposed Takeover – Ouko
Instead, the MPs recommended establishment of an Aviation Holding Company to consolidate the country’s aviation assets, including the nationalization of KQ.
Announcing the move to drop the bid, KQ CEO Sebastian Mikosz said that Kenya Airways was ready to work together with stakeholders in the future.
“KQ’s Board and Management believe that the PIIP has catalyzed important discourse about the future of Kenya’s civil aviation, which is now being led by the Government of Kenya. Kenya Airways looks forward to continued collaboration with all involved stakeholders of the process,” said Mr Mikosz.
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