Australian low-cost carrier Bonza has suspended all flights after its aircraft were repossessed by asset manager AIP Capital. The airline, which launched in early 2023 targeting secondary Australian routes, has faced financial struggles due to limited aircraft availability and the expiration of fee waivers offered by regional airports.
On April 30, AIP seized four Bonza aircraft following their return to bases, citing unresolved financial issues. This action came after AIP transferred its aircraft holdings to a new investment vehicle, Phoenix Aviation Capital, owned by insurance firm A-Cap. The airline's CEO, Tim Jordan, stated they are in discussions about the company’s viability but did not disclose the repossession.
Bonza is now preparing to file for voluntary administration and has appointed Hall Chadwick as the administrator. Major competitors Qantas, Jetstar, and Virgin Australia have stepped in to provide complimentary flights to assist affected passengers, although Bonza’s routes had minimal overlap with theirs.
More updates are expected regarding the airline’s future operations.