ClickAJob News

Silverjet is to return to the skies "in a matter of weeks" after administrators agreed a deal with Heritage-owned Kingplace.

Kingplace, a company registered in the Irish Republic, is controlled by Heritage, a Switzerland-based investment group.

The business class only airline said the principal terms have been agreed with Kingplace, which plans to acquire and relaunch Silverjet within weeks.

The deal is expected to close on Friday, joint administrators Nigel Atkinson and Mark Fry of Begbies Traynor said.

Ian Ilsley, chairman of Heritage and a director of Kingplace, said: "Kingplace can confirm that it has agreed terms with Begbies Traynor to acquire Silverjet.

"If these negotiations are successful, we expect to take on all of the existing staff, to honour Silverjet's existing customers' tickets and see Silverjet return to the skies in a matter of weeks."

Lawrence Hunt, chief executive of Silverjet, added: "I am personally delighted that we now have the necessary backing from a long-term investor to relaunch Silverjet.

"We have received fantastic support from our staff, customers and partners in helping us put this deal together.

"We will be working around the clock to launch our New York and Dubai services as quickly as possible and we will make an announcement about the date for re-launching our services in due course."

Silverjet suspended its shares on the Alternative Investment Market (AIM) last month after a loan fell through. The airline experienced turbulence as the credit crunch hit, sending passenger numbers down, along with a surge in the price of oil.

Several other airlines, including Eos, Maxjet and Oasis have all filed for bankruptcy this year as the difficult conditions squeezed the margins of smaller operator.

Low-cost carrier easyJet recently warned that there will be more victims as conditions worsen, and British Airways boss Willie Walsh has announced the era of cheap flights is over.