Lufthansa Group has signed an agreement for the purchase of 41% of the shares of ITA Airways
Lufthansa Group will acquire 41% of ITA Airways through a capital increase of €325 million, with an option to acquire all remaining shares at a later date, most likely in 2025-2026. This development ends the long-running talks between the two organizations, which have already been extended several times in recent months.
Lufthansa will get a 41% stake in ITA Airways
Deutsche Lufthansa AG has reached an agreement with the Italian Ministry of Economy and Finance (Ministero dell'Economia e delle Finanze, MEF) to acquire a minority stake in ITA Airways (Italia Trasporto Aereo SpA). Lufthansa will acquire a 41% stake in ITA Airways for EUR 325 million through a capital increase.
Now, with the landmark acquisition seemingly imminent, the German conglomerate is preparing to expand into Italy, and those traveling to and from Italy will be able to enjoy increased connectivity with the rest of the Lufthansa Group's extensive network.
With negotiations nearing completion, the future of the deal will be in the hands of the European Union's Antitrust Chamber, which could take up to four months to review the case. Although it may not seem that serious for an airline to acquire a 40% stake in another company of the same profile, the agreement between the two parties gives the German organization the option to acquire another 50-55% of the Italian carrier, until in 2026. There is a risk of monopoly in the area!
The Lufthansa Group seeks to integrate ITA Airways into its network as best as possible and aims to capitalize on the many synergies that could arise from the partnership.
In addition, ITA Airways would be the first carrier in the Lufthansa Group not to focus its operations in a German-speaking nation. The merger will therefore bring the carrier a cultural transition away from the German-speaking areas of Europe.