Ibom Air (QI, Uyo) plans to go to the capital markets, but shareholder Akwa Ibom State government intends to continue supporting the airline to ensure it breaks even before listing, according to state governor Umo Eno.
Speaking at a recent ceremony to welcome the arrival of two more CRJ900LRs for Ibom Air at Uyo, he explained that Akwa Ibom State had funded the acquisition of the new aircraft to avoid the carrier having to take on bank loans, which would burden it with high interest rates and long repayment periods.
According to a report by the Premium Times newspaper, he said the government believed that bank financing would create a cycle of debt, as loans would need to be refinanced for aircraft overhauls. By directly funding the acquisition, the government aims to help Ibom Air become financially stable before seeking to diversify ownership through the stock market, he explained.
Still, he reiterated: "We urge you, that from 2025, we must now begin to receive profits from the operations of Ibom Air."
A well-placed source said the listing of the airline was unlikely to happen in 2025. "Eventually we will go to the capital market, but certainly not in 2025. We’re not ready for that yet."
The two new Bombardier Aerospace CRJs, purchased outright from China Express Airlines (G5, Chongqing), are 5N-CED (msn 15280) and 5N-CEE (msn 15281), bringing the number of CRJ900LRs in the fleet to seven, according to ch-aviation fleets. They are to fill a fleet capacity gap created by the delayed delivery of its existing A220-300 order from Airbus Canada. The airline already operates two of the A220s, and the delivery of nine more has been delayed from the fourth quarter of 2024 to the first quarter of 2025.
