A MAJOR shareholder in Wizz Air yesterday revealed plans to sell up to £500m worth of shares in the budget airline.

The sell-off has been initiated by investment funds managed by US private equity firm Indigo Partners, which currently holds a stake of almost 21 per cent in Wizz Air.

The airline, which mainly flies to central and eastern Europe, has a 49 per cent cap on shares owned by nonqualifying nationals — those outside the European Economic Area and Switzerland. Wizz Air said the sale was likely to increase qualifying national ownership.

It comes a week after the budget firm lifted its profit guidance for the full year to between €350m (£296m) and €355m on strong third-quarter results. Passenger numbers rose 23 per cent in the three months to 31 December compared to the same quarter the previous year.

The Budapest-based company has proved resilient to major headwinds facing the aviation industry, such as rising fuel costs and lower demand.

Wizz Air has announced plans for new routes across the globe, while chief Jozsef Varadi last year vowed to expand the airline's London presence.

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