DUBAI – The Sri Lankan government has approached Emirates airline about buying the Dubai-based carrier’s stake in state-controlled SriLankan Airlines, Emirates’ president said on Wednesday. “They (the government) have put out feelers that’s all … to see whether we are interested,” Tim Clark told Reuters.

Emirates said in 2008, after opting not to renew a management contract for the airline, it was looking to sell all or part of its 43.6 percent stake in SriLankan Airlines, a holding which had previously been valued at about $150 million.

Clark said talks were not at an advanced stage but if the “price is right”, Emirates would be open to a deal.

Officials from the island nation’s treasury, which handles the government’s 51 percent share in the airline, were not available for comment.

“That is a matter for the shareholder. I am not aware of that,” Manoj Gunawardena, SriLankan Airlines chief executive officer told Reuters.

Emirates paid $70 million for the stake in SriLankan, its only investment in another carrier.

The Arab world’s largest airline, which has $55 billion of orders with Airbus and Boeing, said earlier this month it expected to take delivery of 11 aircraft in 2010 as it pressed ahead with expansion into Europe, and funding the planes was not a problem.

Sri Lanka’s economy is expected to grow 5.5 percent in 2010 due to improving domestic demand and potential export growth after a 25-year war ended in 2009 and as global recovery takes hold, the IMF said on Feb 10.

The $40 billion economy, hit by a balance of payments crisis early last year, has already received two tranches of a $2.6 billion IMF loan, helping to stabilise the rupee currency and boosting global investor confidence in post-war Sri Lankan government securities and the bourse.

Source: business.maktoob.com