ASG and the Exit from Latvia — Timeline and Structure (2023–2025)
Analytical overview — jurisdiction-neutral, fact-based
1) Corporate Background and Key Entities
Avia Solutions Group (ASG)
A private global aviation group headquartered in Ireland with operational origins in Lithuania.
Core business: ACMI (passenger and cargo wet-lease), charter services, and MRO via FL Technics.
2) Financial Profile (FY2024)
Revenue: €2.692 billion (+19% vs 2023)
–€62.6 million (after one-off impairments and restructuring costs)
Adjusted EBITDA: ~€460 million (operational cashflow remains strong)
SmartLynx Airlines
Originally a Latvian carrier (LatCharter → SmartLynx), historically one of ASG’s primary ACMI platforms in Europe, with AOCs in Latvia, Estonia, and Malta.
By late 2024, the combined SmartLynx fleet was ~57 aircraft (passenger + cargo).
3) Strategic Shift Prior to the Exit (2023–2024)
From 2023 onward, ASG undergoes a dual strategic transition:
A) Expansion of ACMI Beyond the Baltics
Focus on counter-seasonal markets to reduce European winter downtime
Rapid growth of non-Baltic AOCs:
Thai SmartLynx (Thailand)
SmartLynx Australia
Ascend Airways Malaysia
BBN Airlines Indonesia / Thailand
Public strategic target: up to 50% of the global ACMI market and ~700 aircraft by 2030
By 2024, the majority of SmartLynx-generated revenue is already outside Latvia.
B) Development of a Global MRO Network
ASG consolidates and expands heavy maintenance capacity not in Latvia, but in:
Europe
Lithuania (Vilnius, Kaunas) — FL Technics flagship facilities
United Kingdom — Storm Aviation, Chevron (base maintenance, interiors, components)
Czechia (Ostrava) — JOB AIR Technic (heavy maintenance for Airbus/Boeing)
Italy, Germany, Romania — line and base maintenance locations
Asia-Pacific
Indonesia (Jakarta: ~20,000 m²; Bali: ~15,000 m²) — FL Technics Indonesia
Americas
Dominican Republic (Punta Cana: ~20,000 m²) — new base maintenance facility coming online 2024–2025
Scale (end of 2025):
28 hangars
76,700 m² of base maintenance capacity
~70 line-maintenance stations worldwide
4) Latvia’s Position Within the Group
Riga hosted line maintenance and in-house SmartLynx Technik, but no heavy MRO belonging to ASG.
Therefore, ASG’s operational capability did not depend on Latvia.
5) Disposal and Legal Protection Process — Autumn 2025
19 September 2025
A Dutch distressed-assets foundation, Stichting Break Point Distressed Assets Management, is registered in the Netherlands.
22 October 2025
ASG announces the sale of SIA SmartLynx Airlines (Latvia):
90% to the Dutch foundation
5% + 5% to two senior SmartLynx managers
Not included in the sale:
SmartLynx Airlines Malta
SmartLynx Airlines Estonia
(both remain under ASG)
Late October 2025
The Latvian entity files for legal protection in Riga court.
A court-appointed administrator assumes oversight.
Debt structure (as reported by industry media):
~€238 million total obligations
~€64 million — external suppliers, lessors, partners
~€174 million — intra-group liabilities within ASG
24 November 2025
SmartLynx Latvia formally ceases economic activity, stating the financial situation is “insurmountable”.
Image: photos/photo_74@26-11-2025_16-10-34.jpg