The Minister for Public Enterprise, Ms O'Rourke and the Minister for Finance, Mr McCreevy, are to retain management consultants to advise them on Aer Lingus and its plans for a strategic alliance.
Aer Lingus is due to report to Government in April on its endeavours to find a suitable strategic partner. Senior executives are currently talking to a number of airlines and expect to have a definite recommendation for Government by the end of March.
Ms O'Rourke and Mr McCreevy will appoint consultants to advise them on the Aer Lingus recommendations. It is expected that a short-list of around five contenders will be drawn up in April. The successful candidate will be appointed in May.
Sources said yesterday it is likely that the advisers will comprise a range of companies, with legal, financial and aviation expertise. Among those expected to bid for the tender are the corporate finance arms of AIB and Bank of Ireland as well as overseas companies such as Merrill Lynch, who are currently advising the Government on the Telecom Eireann flotation.
A strategic alliance partner for Aer Lingus is seen as crucial to the company's future development. Globally, airlines are forming large alliance groupings and it essential to be in one of these to develop business.
