NokScoot, a joint venture between Thailand-based Nok Air and Singapore-based Scoot, announced that the airline will be liquidated unless its shareholders have different opinions.

Despite its colorful livery and ambitious plans, the airline was unable to achieve a profit since its establishment in 2014, highlighted a press release by Scoot.

“Much of this was contributed by the difficulties in growing the network, and the intense competitive environment. Unprecedented challenges arising from the COVID-19 pandemic have further exacerbated the situation,” stated Scoot.

The Singapore-based airline does not see a “path to recovery” for NokScoot. It initially offered its 49% stake to its other shareholder Nok Air for a symbolic sum of $0.03 (TBH1), but the Thai low-cost carrier decided not to take the offer.

Now, the fate of the low-cost carrier sits in the hands of its shareholders. A general meeting will be held on July 14, 2020, to “consider and approve the dissolution and liquidation along with appointing the liquidator of NokScoot Airlines,” stated a release by Nok Air.

The liquidation of NokScoot Airlines “poses no direct or indirect impact to the company’s normal operations,” noted the Thailand-based no-frills airline.

Qantas' group subsidiary Jetstar might be hinting that it is looking to exit its joint venture in Vietnam, as Jetstar Pacific will now bear its old name, Pacific Airways.

The long-haul low-cost carrier was established in 2014, with Scoot owning a 49% stake at the airline, while Nok Air, another low-cost carrier, had a 51% stake at the company. NokScoot operated a fleet of seven Boeing 777-200ER aircraft, all previously flown under Singapore Airlines, (SIA1) (SINGY) the parent company of Scoot, colors.