The management of Air Nigeria on Monday said that it had liquidated a N38 billion debt owed to its creditors, the United Bank for Africa (UBA) and the Guaranty Trust Bank (GTB).

The News Agency of Nigeria (NAN) reports that the airline owed UBA N37 billion and GTB N1 billion before it was acquired by the NICON Group of Companies.

After its acquisition, the airline’s name changed from Virgin Nigeria changed to Air Nigeria. Briefing newsmen in Ikeja, NICON Group Chairman, Mr Jimoh Ibrahim, said a letter confirming the debt liquidation had been received from the UBA.

“All asset debentures on Virgin Nigeria registered in the past will now be discharged,” he said.
Ibrahim said that with the liquidation of the debts, the airline now had the ample opportunity to dominate the aviation industry.

He promised that safety would not be compromised in the planned restructuring of the airline.
He disclosed that the airline would commence flight operations to the U.S. before the end of the year, adding that it would take delivery of 12 additional aircraft by October.

Ibrahim said the airline had applied to the Federal Airports Authority of Nigeria for a space to enable it to build a hanger for at least 10 aircraft.