The Carlyle Group, a U.S. private equity firm, will take a controlling stake in London Southend Airport (SEN) following a recapitalization agreement with Esken, the airport’s struggling owner.

According to Esken, Carlyle Global Infrastructure Fund will exercise a convertible loan of £193.75 million ($246.97 million) due to Carlyle from SEN into an 82.5% stake in the airport. Esken will retain a 17.5% stake in SEN.

Esken says in a statement filed with the London Stock Exchange that it will go through a court-monitored restructuring and delist its shares, adding, “The expectation is that any return for shareholders at the end of the process is likely to be negligible.”

The agreement includes £5 million in short-term bridge funding to SEN, “part of a commitment of £32 million of new funding to secure the future growth of the airport,” Esken says.

“The court process for the Esken restructuring plan is likely to take several months to conclude, but, in the meantime, the future funding of [SEN] is secure," the company adds in the statement to the stock exchange. "Once the documents for the restructuring plan are finalized, a further update will be provided when the process and timings will be set out fully.”

When Esken and Carlyle revealed in February that they had “negotiated a recapitalization proposal,” which Esken has now accepted, SEN CEO John Upton called it “great news for everyone connected with London Southend Airport,” noting Carlyle has “extensive experience across the aviation industry.”

Cyrus Capital Partners, a private equity firm also involved in the deal, “will provide liquidity to the Esken group to meet its working capital needs during this process,” Esken says.

SEN’s Upton added: “With a fast-growing population of approaching eight million within an hour [of the airport by car or train], and with other London airports facing a capacity cliff-edge, we are ideally placed to serve those airlines looking to grow their operations in the London market.”

Carlyle and Cyrus said in a joint statement the transaction will “secure the airport’s long-term future for the benefit of all stakeholders.”