Air Zimbabwe courts Nicholas Van Hoogstraten for $15million

Air Zimbabwe has reportedly approached controversial British property mogul, Nicholas Van Hoogstraten, for USD15million to help boost its coffers. According to Africa Confidential, the funds are to be used to enable the Zimbabwean national carrier to resume its Harare Int'l to London Gatwick route, abandoned in early 2012 after creditors moved to seize the airline's B767-200(ER)s. 

"Van Hoogstraten will be given a 180-day commercial paper for the funds which, according to an investors’ guide seen by Africa Confidential, is ‘for the immediate resuscitation of Air Zimbabwe operations’". 

Mr Van Hoogstraten is seen as a staunch supporter of Zimbabwean strongman, Robert Mugabe. During a recent ministerial tour of Air Zimbabwe's headquarters at Harare International Airport, acting chief executive Mr Edmund Makona said although the airline had managed to increase its market share since resuming operations in May 2012, it was still battling to break even. 

"Although we have increased capacity ... we are still battling with low yields because every flight taking off is not making any profit." Air Zimbabwe's debts still stand at over USD140million of which USD30million is owed to international creditors.

Source: CH-Aviation