(Bloomberg) – Air Baltic has long rejected CEO Martin Gauss because the airline’s major shareholder, Latvia, has no confidence in voting.
Latvian Airlines made a decision after reviewing the financial results and plans for the 2024 IPO, the Ministry of Transport said in a statement on Monday. The ministry said in a statement that Chief Operating Officer Pauls Calitis will serve as interim CEO.
“It’s important for me to see the results,” Atis Svinka’s transport minister said in a statement. “Baltic Airlines is a company of national importance and it must be able to grow independently and adapt to external conditions.”
The past few years have been difficult for Latvian airlines. Russia’s invasion of Ukraine subverts its plans as a hub for flights to the east, engine failures are rooted in part of its fleet, and financial problems lead to high borrowing costs. The turmoil has made the head of the Oversight Committee, and the Minister of Transport this year has caused work.
Earlier in 2025, Deutsche Lufthansa AG agreed to acquire a convertible stake for 14 million euros (US$15.3 million), representing 10% of the Baltic air holdings. The deal is expected to close in the second quarter. Lufthansa will be able to convert its convertible shares into common stock at the time of its IPO.
Barrow’s Sea Airlines said in September it plans to raise up to 300 million euros on its IPO. Gauss has been CEO since 2011. His IPO plan dates back to 2018, repeatedly delayed by external and operational setbacks.
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