The value of the operation is 829 million euros
The executive branch of the European Union gave final approval this Friday (29) to the definitive agreement for the sale of the state airline ITA Airways to the German Lufthansa group.
Announced in 2023, the deal was approved by the European Commission last June, but on condition that the parties cede some routes to other companies to ensure competition in the bloc’s civil aviation market.
In particular, the Commission requested the transfer of some slots at Milan Linate airport, where it risked holding a dominant position on short-haul routes.
With the approval, the parties will now be able to proceed with signing the definitive sales contract. This procedure will have to be carried out in January between the Italian Ministry of Economy (MEF) and Lufthansa.
Lufthansa will initially purchase 41% of ITA, a company created from the assets of the bankrupt Alitalia, through a capital increase of 325 million euros (R$ 2 billion), but it is expected that the group will take over the rest of the shares by 2033, with a total investment of 829 million euros (5.1 billion R$).
The antitrust team of the European Commissioner for Competition, Margrethe Vestager, has positively judged the commitments made by the Italian government and the German giant to guarantee the protection of competition, as part of the political agreement made official on 3 July.
The managers analyzed the proposals presented to address concerns in three market segments considered critical: 10 short-haul routes from Italy to Central Europe (destination Germany, Austria, Belgium and Switzerland), the Milan Linate hub and the three intercontinental routes from Fiumicino to Washington, Chicago and Toronto.
In particular, it is worth mentioning the multi-year commercial agreements that Ita and Lufthansa have signed with easyJet, to re-establish competition in the Lombardy airport and on short connections, and with Iag (controller of companies such as British Airways and Iberia) and Air France.
Furthermore, KLM will guarantee passengers an alternative, via stopover, to the direct journeys offered by the Italian-German duo on long connections to North America.
Brussels considered that the signed contracts “respect the relative independence criteria of Lufthansa, Mef and Ita” and “are consistent with the commitments” undertaken. “The companies that will guarantee competition have demonstrated, with their industrial plans, that they are”. active and valid forces in competition”, he underlined.
In a statement, Lufthansa celebrated the approval and said that “the authorization by the European Commission represents an important milestone on the path to the successful acquisition of Ita Airways.” “The deal is currently expected to close in early 2025,” the company concluded.
The Minister of Economy and Finance, Giancarlo Giorgetti, stated that everyone is “satisfied with this new stage” and that now we must “go the last mile”. .
Source: Terra
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