Jade Cargo partners talk with potential investor

Jade Cargo may take to the skies again after its joint venture partners Luthansa Cargo and Shenzhen Airlines agreed to work with UnitTop Group, a Chinese transportation company, to restructure the troubled carrier.


Jade Cargo Luthansa Cargo Shenzhen Airlines UnitTop Group


Jade Cargo may take to the skies again after its joint venture partners  Luthansa Cargo and Shenzhen Airlines agreed to work with UnitTop Group, a Chinese transportation company, to restructure the troubled carrier.

In January Jade grounded its fleet of six B747-400s because of weak demand and lack of investment funding. Lufthansa Cargo, which owns 25 per cent of the carrier, said in December it was reviewing its investment in the venture and is considering a reduction of operations in China. Lufthansa CEO Karl Ulrich Garnadt said the German carrier has long known than Jade, established in 2006, was undercapitalised and is in “very constructive” negotiations with the Bank of China.

Shenzhen Airlines owns 51 per cent of Jade Cargo, with German development finance institute DEG-Deutsche Investitions owning the remaining 24 per cent.