Blackstone Targets Return to Trans Maldivian Airways Amid Tourism Recovery
Blackstone aims to return to Trans Maldivian Airways as lenders look to exit after a debt restructuring. TMA is recovering from pandemic impacts, recording $177.9 million revenue, with a focus on enhancing connectivity as competition grows between Indian and Chinese tourists. Indian firms are investing in airport infrastructure to boost tourism potential.
Blackstone is planning to re-engage with Trans Maldivian Airways (TMA) as lenders seek to divest. The pandemic severely impacted Bain’s attempts to capitalize on high-end travel, leading to a default on a $305 million loan, prompting lenders to gain operational control. A restructuring of debts has resulted in a consortium led by Carlyle and others taking majority control over TMA, which was originally funded by major banks before being transferred to hedge funds for managing the sale process as tourism begins to recover.
According to data from Rocket Reach, Trans Maldivian Airways recorded an annual revenue of $177.9 million in 2025, with projections estimating an EBITDA of $70-$80 million. TMA, initially established in 1993, operates a fleet of 65 DHC-6 Twin Otters, providing essential connections among over 80 resorts in the Maldives, facilitating more than 400 flights daily. During the peak of its operations prior to Covid-19, TMA serviced nearly 1 million passengers annually until the pandemic necessitated a halt in scheduled flights.
Tourist arrivals from India and China have been pivotal to Maldives tourism. In 2024, the Maldives government is targeting 300,000 Indian tourists after a decline in rankings due to political tensions. Recent discussions between Prime Minister Modi and President Muizzu revealed intentions to enhance airport infrastructure and connectivity. Conversely, China remains a strong competitor as it expands its tourism reach following a rebound in its travel sector.
Notably, Indian involvement in the Maldives aviation sector continues, with significant projects like the redevelopment of Hanimaadhoo International Airport by Kalpataru Projects, under India’s Exim Bank’s financing. This initiative, coupled with the expansion of Gan International Airport by Renatus Projects, seeks to bolster connectivity for northern atolls, targeting completion of both projects by March 2025. This strategic focus on infrastructure aims to alleviate congestion in Male and support anticipated growth in tourist numbers.
In summary, Blackstone’s potential reinvolvement with Trans Maldivian Airways marks a noteworthy shift as lenders seek to exit their financial commitments. The recovery of tourism post-pandemic provides a hopeful outlook for TMA, which has historically been critical to connecting resorts in the Maldives. As competition from India and China intensifies, investments in infrastructure projects are poised to enhance connectivity and support the Maldives’ vibrant tourism sector moving forward.
Original Source: m.economictimes.com
