Ryanair's O'Leary says Wizz Air and Air Baltic may collapse amid Iran war

Investing.com -- Ryanair Holdings Plc Chief Executive Officer Michael O'Leary warned Monday that European airlines could face corporate casualties if the Iran war continues and the Strait of Hormuz remains restricted.

O'Leary said carriers including Wizz Air Holdings Plc and Air Baltic Corp. are at risk if the strait stays closed until November, speaking during a Bloomberg Television interview.

"You'd be looking at airlines failing all over Europe," O'Leary said, adding that "Wizz could well be a candidate for failure."

Air Baltic recently received a €30 million ($35 million) loan from the Latvian government to help stabilize its finances through the summer.

"Good luck to the Latvians trying to get that repaid at the end of August," O'Leary said.

The Ryanair CEO said he is not looking for consolidation candidates, stating "there is nothing in Europe you'd want to buy."

His remarks follow comments earlier this month from IAG SA CEO Luis Gallego, who said the war has created an opportunity for the British Airways owner to buy struggling carriers.

O'Leary said Ryanair would be willing to buy airplanes if they were sold off.

You May Also Be Interested In

• Alphabet added to Dow Jones Industrial Average, Verizon dropped
• ImagineAR Provides Corporate Update on Debt Settlement
• BioNxt Announces Closing of Non-brokered Private Placement of Units Pursuant to the Listed Issuer Exemption