Related Coverage: Lufthansa, Air France, KLM, Air France-KLM
Reuters
• Angelo Amante
Reuters reports: Lufthansa's bid to buy a stake in Italian peer ITA is set to be blocked by EU antitrust regulators unless there is a substantial improvement to remedies to address competition concerns, people with direct knowledge of the matter said on Thursday.
After a first-quarter earnings hit from strikes, Lufthansa anticipates a robust recovery with bookings up 16% over last year, aiming for over 95% pre-pandemic capacity in Q3.
In an effort to secure approval for its €325 million investment in ITA Airways, Deutsche Lufthansa AG is set to propose new concessions to address EU competition concerns.
In a strategic move, Lufthansa offers concessions to address EU antitrust concerns for its planned acquisition of a minority stake in ITA Airways.
Italia Trasporto Aereo S.p.A., doing business as ITA Airways, is Italy's flag carrier, established in 2020 as Alitalia's successor, with a government ownership structure. The airline, a SkyTeam alliance member, serves over 70 destinations globally from its main hub at Rome Fiumicino Airport.
Lufthansa's acquisition of a stake in ITA faces potential blockage by EU antitrust regulators unless substantially improved competition remedies are proposed, according to sources.
Lufthansa Group CEO Carsten Spohr expresses optimism for the successful acquisition of ITA Airways following productive discussions with EU competition regulators.
After a first-quarter earnings hit from strikes, Lufthansa anticipates a robust recovery with bookings up 16% over last year, aiming for over 95% pre-pandemic capacity in Q3.
In an effort to secure approval for its €325 million investment in ITA Airways, Deutsche Lufthansa AG is set to propose new concessions to address EU competition concerns.
In a strategic move, Lufthansa offers concessions to address EU antitrust concerns for its planned acquisition of a minority stake in ITA Airways.
ITA Airways strengthens its footprint in the US by launching a direct link between Rome and Chicago, enhancing connectivity between two major cities.
In a significant fleet expansion move, ITA Airways has welcomed four Airbus models in just seven days, marking a robust step in its growth strategy post-Alitalia era.
ITA Airways demonstrates significant improvement by nearly breaking even with a net loss of only €5 million, while TAP Air Portugal announces a record profit of $192 million in 2023, marking a successful financial year for both carriers.
The EU Antitrust Commission has alerted Italy's Ministry of Economy of a potential rejection of Lufthansa’s ITA Airways purchase unless competitive measures are enforced.
Following a detailed review, the European Commission identified potential competition restrictions on key routes and markets, notably short-haul to Central Europe, long-haul to North America, Japan, and dominance at Milan Linate airport, stemming from Lufthansa's proposed stake in ITA Airways.
Deutsche Lufthansa AG's intentions to purchase ITA Airways, the airline successor of Alitalia, are under threat due to stringent demands by the European Union, potentially derailing the deal.
Giancarlo Giorgetti, Italy's Finance Minister, voices alarm over EU's postponement of ITA Airways stake sale, pivotal to the government's €20 billion privatization goal.
