Current ownership structure 'unsustainable'

In a statement, MAEL says it has "successfully stabilised operations" and "transitioned to a stand-alone business" following the Monarch Airlines failure.

According to MAEL, it has established itself as a independent aircraft maintenance company and strengthened its customer base through new contracts with a number of "leading airlines".

"The company’s maintenance facilities at Luton and Birmingham are now fully utilised and operating at maximum capacity, with contracted work stretching throughout 2019," said MAEL.

"In the last year, MAEL has increased its geographical footprint with the opening of a new component maintenance facility in Northampton, and has created more than 100 new jobs, growing its workforce to more than 800 people. It has also doubled the size of its industry-renowned apprentice scheme."

However, the firm says it is making "good progress" with Monarch administrator KPMG to agree a new ownership structure, which it says is "unsustainable" in the medium to long-term.

Any such deal, MAEL says, will strengthen its balance sheet and resolve any "legacy issues". The deal could be agreed by the end of the month.

Chris Dare, MAEL chief executive, said: “I’m proud of what we have achieved in the last 12 months. We have stabilised our operations and grown our business significantly. Our teams and employees have done remarkable work.

“I’m excited about our future potential and this process is the final phase in the journey to go from being a division of Monarch Group to a successful, standalone entity. We have enjoyed strong support from our key stakeholders which has been so important as we complete our journey.”