Lufthansa intends to fully take over ITA Airways - CEO
Reuters
Published May 26, 2023 09:52
Updated May 26, 2023 12:05
(Reuters) - German airline group Lufthansa on Friday said its goal was to take over Italian carrier ITA Airways in full, but it could not be forced to do so, after it announced it was taking on a minority stake on Thursday.
Lufthansa will take a 41% stake in ITA Airways by way of a 325 million euro ($358 million) capital increase that will flow directly to the Italian carrier, the German group said on Thursday.
That ownership stake could be extended based on how well the airline performs in the coming year, Lufthansa CEO Carsten Spohr said.
"There are Lufthansa call options for 49% (ownership) in a time frame that begins in 2025. For me, that would be the two years we have planned for the turnaround of the company," Spohr told an analyst call on Friday.
He said there are further options for acquiring the remaining 10% but that it "depends on the economic development of ITA."
He added that the German group had to be sure they didn't overpay for the financially troubled Italian airline.
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Written By: Reuters
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