Freightways on alert as JV partner Airwork placed into receivership
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The news: New Zealand logistics company Freightways said it will "closely monitor" developments with its joint venture partner Airwork, after the troubled air freight business was placed into receivership.
The numbers: Freightways and Airwork are, each through a subsidiary, 50/50 joint venture partners in Parcelair. Parcelair is a cargo airline that provides services to the Freightways network.
The context: Freightways told investors on Wednesday that it has a contingency plan which "can be implemented on short notice and with minimal operational impact".
The announcement came after the receivers said they intend for Airwork to continue to trade as a going concern.
Airwork, which was listed on the NZX until Chinese conglomerate Zhejiang Rifa Holdings took it private in 2017, defaulted on an USD83.5 million ($127 million) syndicated loan last year before negotiating an extension.
The source: ASX
