Piaggo Aerospace has effectively announced bankruptcy as it asked the Italian government to place it under ‘special administration’ following the failure of a 2017 turnaround plan.
In a statement reported by Reuters, the Italian aircraft manufacturer stated: “The prolonged uncertainty and present market conditions make the company no longer financially sustainable.”
The company is under ownership by Abu Dhabi soverign fund, Mubadala. The fund is currently focusing efforts on developing unmanned drones.
The company only just approved a strategic plan to turnaround its business over five years and secure long-term sustainability.