BizJournals Portfolio
Home >   Business Views, Opinions and Blogs >   Business Blogs >   Market Movers >  

Silverjet Phoenix Or Zombie

Market Movers

by Felix Salmon
Main
The Million Dollar Active vs Passive Wager   Geithner's Plan to Revamp Global Financial Regulation

Recent Blog Posts

Links

Jun 09 2008 12:00am EDT

Silverjet: Phoenix or Zombie?

Are you worried about $140 oil and the concomitant rise in jet-fuel costs? Heritage isn't. The Ireland-registered Swiss investment company wants to buy Silverjet for £5 million or so (call it 12 cents on the dollar for creditors) and get the all-business-class airline flying again. And there might even be a bidding war: there's reportedly at least one other firm offer on the table, and interest from other parties too.

But all-business-class airlines don't work, especially not when they're independently owned. Given the credit card holdbacks and enormous borrowing costs and generally adverse business conditions that any new owner would face, wouldn't it be easier and cheaper to simply burn a million pounds in cash? It would almost certainly be more fun.

. □

Comments

If you are commenting using a Facebook account, your profile information may be displayed with your comment depending on your privacy settings. By leaving the 'Post to Facebook' box selected, your comment will be published to your Facebook profile in addition to the space below.


Connect With Portfolio.com
Like Portfolio on Facebook

Come on, like us—you know you want to.

Follow Portfolio on Twitter

Follow us and if you're an innovative entrepreneur, we'll return the favor.

The Mix

Today's top stories, conversation starters, and the back nine business bites.

spotlight on

Slideshows

500 Startups Hits New York

Dave McClure's brainchild makes its way to New York and introduces East Coast money folks to some intriguing new companies. View Slideshow