Hawker Beechcraft has announced that plans to sell itself to a Chinese firm have fallen through.
Hawker Beechcraft has announced that plans to sell itself to a Chinese firm have fallen through.
The company filed for bankruptcy protection in May, as it was unable to support its $2.5 billion debt load. During July, Hawker Beechcraft announced that it had entered talks with China’s Superior Aviation Beijing regarding the sale of the company for $1.79 billion.
It was announced yesterday that it could not agree on terms between the privately owned Chinese company and government-backed Beijing E-Tong International Investment & Development.
Hawker Beechcraft said it was evaluating strategic options with creditors for its Hawker product line, which includes the struggling business jet division, and that the business will be closed if there are no satisfactory bids.
It will now file an amended reorganisation plan – subject to approval from the bankruptcy court – that has been approved by major creditors. A hearing is expected on 15 November.
