The sale of Air Malta’s UK-based tour operator service to the SMS Group was cleared by the regulatory authorities, the company announced yesterday.

Air Malta did not say what amount of money was paid for the transaction.

Holiday Malta Ltd was a subsidiary of Air Malta and under the terms of the restructuring agreement approved by Brussels one of the airline’s assets that had to be sold.

The SMS Group has wide interests in the tourism sector and one of its directors, Joe Cappello, is a former CEO of Air Malta.

The national airline also announced that it was “on track” with the sale of Flyaway Tours, another subsidiary responsible for package holidays.

In September, the airline issued a call for expressions of interest and has now chosen a preferred bidder with which it started discussions.

Air Malta said the sale of Selmun Palace Hotel, which ceased operations last year, was also moving ahead with a “reappraisal” of shortlisted companies expected at the end of the month.

Air Malta CEO Peter Davies said the company was continuing with its wide-ranging restructuring process and meeting its obligations as part of the EU-approved plan.

“In all sale transactions we have followed a robust and rigorous process of competitive bidding to ensure the highest levels of corporate governance while maximising revenue for the airline,” he said.