Mokulele Airlines has opened its new corporate headquarters and maintenance facility at Honolulu International Airport, one day after Indianapolis-based Republic Airways increased its majority stake in the airline.
Mokulele and Republic officials held a grand opening for the new facility on the south side of Honolulu International Airport. The complex which houses both Mokulele executive offices and reservations operations becomes the new headquarters for the airline.
Meanwhile, Republic officials said they have invested an additional US$7.5 million in Mokulele, raising Republic's stake to 89 percent in the airline.
Republic and Mokulele formed a partnership last fall, with Republic providing four Embraer 170 jets and crew, along with an $8 million loan. In March, Republic took a 50 percent ownership stake in Mokulele and replaced its chief executive officer after Mokulele fell behind on loan payments. Republic now has nearly $20 million invested in Mokulele, said Bryan Bedford, chairman, president, and CEO of Republic.
Separately, Republic yesterday said it has completed its acquisition of privately held Midwest Airlines for $31 million in cash and debt. Republic officials said Midwest will continue to operate as a branded carrier.
Republic Airways Holdings also has made a bid to buy the parent of Frontier Airlines, which is operating under bankruptcy protection. While a court has approved that deal, Southwest Airlines recently made a rival bid for Frontier. An auction is expected to be held in August.
