Alaska’s largest rural air service is going on the auction block Tuesday.
RavnAir Group once flew to more than a hundred destinations around the state before the COVID-19 pandemic forced it into bankruptcy earlier this year.
Now it owes nearly $100 million to an array of lenders, who are guiding the auction process.
Ravn is $90 million in debt and could be forced to shut down for good, court docs say
Fourteen bidders intend to participate in the auction, Ravn said in a prepared statement Monday, though it did not reveal their names.
The primary focus of the auction is not on selling the entire business as one unit, Ravn said. Instead, it’s looking to sell off pieces of the company. Those could include its three subsidiary airlines — Corvus Airlines, PenAir and Hageland Aviation — along with their federal operating certificates.
Once the auction ends, Ravn said it will ask a federal bankruptcy judge to approve any sales at a hearing Thursday.
Nathaniel Herz is an Anchorage-based journalist. He's been a reporter in Alaska for a decade, and is currently reporting for Alaska Public Media. Find more of his work by subscribing to his newsletter, Northern Journal, at natherz.substack.com. Reach him at natherz@gmail.com.
