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Avianca and Viva Air have their merger approved by Aerocivil
Airbus A320
CC BY 2.0, via wikimedia commons
Rafael Ramos
3/22/2023
Colombia's civil aviation authority, Aerocivil, approved the merger between Viva Air and Avianca this Monday (21). The merger between the airlines must maintain the conditions imposed by Aerocivil, such as maintaining Viva Air's low cost profile for at least 3 years.
In addition, other conditions must be followed, such as:
• Operate with a tariff limit on routes in which the company will be the only operator;
• The company must ensure dynamism on the routes it operates;
• Return of slots on the Bogotá – Buenos Aires route that will be impacted by the merger, so as not to overlap the route;
• The group formed must return slots that imply a greater concentration of flights at El Dorado International Airport in Bogotá in order not to create barriers to competitiveness in the market;
• All passengers must be respected. Affected Viva Air passengers must be fully reimbursed, in addition to fulfilling pending rescheduling tickets.
The announcement of the intention to merge between the companies was made in August 2022, but Aerocivil had rejected the proposal, citing concerns about competition, which gained special attention in the agreement.
The merger will allow Viva Air to resume its flights, interrupted since February 28 due to financial problems. Part of the airline's fleet was returned to lessors, while other companies showed interest in the acquisition.
Viva's founding partner, Declan Ryan, will join the new group's board of directors.
Although it was predicted that the companies would continue to operate under the names of their respective brands, this hypothesis is still uncertain.
Airbus A320
Image: Viva Air
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Rafael Ramos
Aviation enthusiast from an early age, he had his first contacts with the area developing that good old habit of spending dozens of hours in front of the screens of Micrsoft Flight Simulator and other simulators. With a solid background in various technological areas, including engineering and chemistry, Rafael has rejoined aviation as editor and author of articles and materials on our portal, providing invaluable help to the dynamics and expansion of the website and the aeronautical community, bringing us the news and updates so indispensable for us to remain current in our area of operation.
   
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