An attempt to bring back Mexicana de Aviacion, once one of Mexico’s two major airlines, was quashed by Mexican authorities on Tuesday.
Authorities suspended the sale of Mexicana, citing the lack of capital raised by PC Capital, the group trying to buy the troubled airline. According to Mexican labor and transportation departments, the group had plans to revive Mexicana, but it failed to pinpoint investors who could pay for the purchase.
Mexican authorities said they would welcome alternative bids for the airline.
Mexicana was one of the oldest airlines in Latin America when it ceased operations in August after filing for bankruptcy.
Its demise stranded hundreds of passengers in Mexico and abroad, and left thousands of employees out of work. Mexicana’s exit also lead to a sharp increase in airfare as competitors raised prices to meet demand.
The airline served 65 domestic and international destinations, which were its most valuable assets.
By Adriana Padilla for PeterGreenberg.com.
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