EU's Almunia says to decide on Ryanair, Aer Lingus deal Feb 27
BRUSSELS Feb 21 (Reuters) - EU regulators will decide next week on Ryanair's third attempt to take over Aer Lingus , the EU's antitrust chief said on Thursday, a decision that Europe's top no-frills airline has already said will be negative.
Ryanair said last week the European Commission, which oversees competition in the 27 EU member states, would block its latest takeover bid for Aer Lingus, criticising such a move as political and one it would challenge in court.
The Commission will announce its decision next week, EU Competition Commissioner Joaquin Almunia told Reuters.
"The decision is on Feb. 27," he told Reuters, without giving details of the outcome.
A veto would be Almunia's fourth rejection of a proposed merger in three years. Last month he blocked plans by world leading package delivery company UPS to acquire Dutch rival TNT Express.
Ryanair had offered to pay 100 million euros, transfer nine planes and cede 43 routes to strengthen British rival Flybe in a bid to secure EU regulatory approval.
The proposal included Flybe setting up an Irish airline, with Ryanair providing forward sales cash and liabilities worth around 50 million euros.
A source close to the deal said Ryanair was also willing to give up Aer Lingus' routes at London's Gatwick Airport to British Airways.
The EU competition authority blocked Ryanair's first takeover bid in 2007. The airline abandoned a second attempt in 2009.
The Irish government, which holds a 25 percent stake in Aer Lingus, opposes Ryanair's bid.
- Tweet this
- Share this
- Digg this
- Yazidis haunted by cries for help as militants bury victims alive
- ECB to begin buying secured debt, bundled loans from mid-month
- Analysis - Financial market storm brewing as 2014 winds down
- Hong Kong police warn protesters against occupying buildings |
- Tesco's 250-million-pound black hole: Who was minding the shop?