GTLK Europe Liquidators List Another A319 for Sale Amid Ongoing Sanctions

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The liquidators of GTLK Europe, a former subsidiary of Russia’s state-owned GTLK – State Transport Leasing, have listed another Airbus A319-100 for sale as part of their ongoing efforts to recover assets. This comes after Western sanctions against Russia have disrupted the company’s operations.

The aircraft in question is an 18.3-year-old jet that was last operated by Royal Jordanian Airlines. Prior to that, it flew for East Star Airlines, Chengdu Airlines, and Germania. The A319 has been parked at Amman Queen Alia International Airport since May 2022, when the enforcement of Western sanctions made further operations by GTLK Europe impossible.

The sale is being handled by Teneo Restructuring Ireland, which was appointed as liquidators following the collapse of GTLK Europe. The aircraft is being sold on an “as is, where is” basis and is lease unencumbered, meaning there are no existing lease obligations tied to the plane. It is currently configured to accommodate up to 120 passengers, including 12 seats in business class.

Teneo’s joint liquidators, Damien Murran and Julian Moroney, have been steadily placing GTLK Europe’s assets on the market. The goal is to recover funds for the Special Purpose Vehicle’s (SPV) non-Russian creditors, as per the sanctions regime. Recently, the liquidators listed five Airbus A220-300s that had been scheduled for delivery to Red Wings Airlines (WZ) but were never delivered due to the sanctions imposed on Russia.

“We continue to progress the realisation of GTLK Europe assets in line with the sanctions regime and will launch further aircraft for sale in an efficient manner in the coming months,” said Murran and Moroney in a joint statement.

Despite these efforts, the liquidation of GTLK Europe has faced pushback from its Russian parent company. GTLK has secured a ruling from a Russian court that bans the disposal of the company’s assets. However, this ruling holds no power outside of Russia and potentially other countries that are aligned with Russian interests. As a result, the liquidation process continues unhindered in jurisdictions such as Ireland.

The liquidation of GTLK Europe and the sale of its assets are part of a broader response to the economic sanctions imposed on Russia following its invasion of Ukraine. These sanctions have led to significant disruptions in Russia’s ability to engage in global trade and finance, particularly in the aviation sector.

GTLK Europe had been involved in the leasing of aircraft and other transport-related assets across various global markets. Its collapse and subsequent liquidation represent one of many ripple effects from the sanctions, as Western governments continue to isolate Russian entities from international markets.

As more of GTLK Europe’s assets are listed for sale, there is expected to be significant interest from buyers looking to acquire aircraft at potentially discounted rates. The sale of JY-AYC represents just one of many steps in a lengthy liquidation process that is likely to continue for the foreseeable future.

The future for GTLK Europe remains uncertain as the liquidation process unfolds, but for now, the focus remains on realizing as much value as possible from the company’s remaining assets for the benefit of its non-Russian creditors.

Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com

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