Bonderman key player in €2bn airline rescue plan

Ryanair chairman Mr David Bonderman yesterday became a key player in a 3.6 billion Australian dollars (€2 billion) deal by a private consortium to relaunch Ansett, Australia's second-biggest airline, which collapsed earlier this year.

Mr Bonderman, along with fellow American Mr Bill Franke, have signed a heads of agreement to become equity partners in an Australian firm set to relaunch Ansett in the new year.

The Ryanair chairman and Mr Franke are already principals of an Australian aviation company, AirPartners III Australia LLC. The two have entered into an agreement on Ansett with Melbourne businessmen Mr Solomon Lew and Mr Lindsay Fox.

They have signed a heads of agreement to become equity partners in Tesna Holdings Pty Ltd. Tesna was formed by Mr Lew and Mr Fox in October and will take over ownership of Ansett from January 31st, 2002.

Mr Bonderman is also a director of Continental Airlines. He is no stranger to big aviation deals. His Irish Air LP company was one of the initial backers of Ryanair and had a 19.9 per cent stake when Ryanair was floated on the stock market in 1997.

That 19.9 per cent stake was bought in 1996 for £1 million (€1.27 million) in cash and £24 million in loans. Since the flotation, Irish Air progressively reduced its share holding and no longer holds a stake in the airline.

In Septembr 2000, Mr Bonderman's 50 per cent owned AerFi aircraft financing group was bought by the German group Debis AirFinance for $750 million (€852 million). And in April 1993 he led a $450 million re-financing of Continental Airlines. Later, in 1996, Mr Bonderman took a 16 per cent stake in Ryanair.

Mr Bonderman's group has gradually decreased its shareholding in Ryanair. Ansett was grounded by administrators earlier this year at a time when it was losing millions every day.