• Login
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
  • Home
  • News
    • General
    • Political
  • Economy
  • Business
    • Agribusiness
    • Aviation
    • Banking & Finance
    • Energy
    • Insurance
    • Manufacturing
    • Markets
    • Maritime
    • Real Estate
    • Tourism
    • Transport
  • Technology
    • Telecom
    • Cyber-security
    • Cryptocurrency
    • Tech-guide
    • Social Media
  • Features
    • Interviews
    • Opinions
  • Reports
    • Banking/Finance
    • Insurance
    • Budgets
    • GDP
    • Inflation
    • Central Bank
    • Sec/Gse
  • Lifestyle
    • Sports
    • Entertainment
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video
No Result
View All Result
No Result
View All Result
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
No Result
View All Result
Home Business Aviation

IAG set to purchase Air Europa for half of original €1 billion cost

5 years ago
in Aviation, highlights, Home, home-news, latest News
2 min read
0 0
0
65
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

IAG is set to push ahead with its purchase of Air Europa, according to a Spanish language newspaper.

The transaction will now go ahead at half of the original cost, with the sum being paid in 2026.

While 2020 has been a challenging year for aviation in general, it has also had an impact on important deals that were being brokered pre-crisis. In April, LOT Polish Airlines pulled out of its purchase of Condor.

Meanwhile, Air Canada’s Air Transat acquisition, first announced in May 2019, is now expected to be completed by February. Now, it seems that despite some doubts, the IAG purchase of Air Europa is set to go ahead.

What’s the latest

There seems to have been some progress with regards to IAG’s takeover of Air Europa.

According to Spanish language publication El Confidencial, IAG has now agreed with Air Europa to adjust its purchase conditions. Of course, this will be subject to government approval.

vueling to receive state-guaranteed funding
 Alongside Vueling and Iberia, IAG would then own Spain’s three largest airlines. Photo: Getty Images

The publication reports that the agreement was reached yesterday and sees a substantial price cut for the Spanish airline.

RelatedPosts

Value of Mobile Money Transactions Hit GHS 323.2bn in June

Alex Mould Questions BoG’s 25% Policy Rate Amid Ample Market Liquidity and Falling Inflation

Chamber of Agribusiness Calls for Sector-Wide Price Cuts and Urgent Government Support to Curb Food Crisis

Air Europa’s original price tag had been €1 billion ($1.23 billion). This has now been halved to €500 million ($6.13 billion). The price drop roughly corresponds to a loan that Air Europa received from the Spanish Government. IAG also won’t pay for the airline until 2026, as the loan has to be repaid by then.

A spokesperson for IAG refused to comment on the deal when approached by Simple Flying.

Not everybody is a fan of the deal. In June, Simple Flying reported that the UK’s Unite union would be opposing the deal in front of the European Commission.

The union was unhappy about job cuts at British Airways while millions were being spent on the Spanish airline. In July, British Airways staff went on to protest outside the Spanish Embassy in London.

Air Europa, IAG, Airline Purchase
 British Airways staff protested against the purchase in front of the Spanish Embassy in London in July. Photo: Getty Images
Who is Air Europa?

Air Europa is one of Spain’s larger passenger airlines and is the largest airline in the country not already owned by the International Airline Group.

Like IAG’s Iberia, Air Europa’s main base is at Madrid’s Barajas Airport. According to Planespotters.net, the airline currently has a fleet of 54 aircraft, ranging from ATRs to Boeing 787s.

Air Europa is currently a member of the SkyTeam alliance, which it will leave as a result of the deal, while Iberia is a member of the oneworld alliance.

When Delta announced a partial acquisition of LATAM last year, the oneworld alliance’s only South American carrier announced its withdrawal due to a conflict of interests.

As Air Europa has a strong network to South America, the airline’s acquisition will prove useful to more than just IAG.

Tags: Air EuropaBritish AirwaysIAGLATAM Airlines Group
No Result
View All Result

Highlights

The Perils of Market Interventionism: When Political Pressures Threatens Ghana’s Economic Gains – The Way Forward

GAB Projects Drop in Lending Rates Starting August 6 Following BoG’s 300bps Policy Rate Cut

Local Bourse Rallies Strongly as GSE-CI Hits Near 7,000 Mark

Treasury Exceeds Auction Target of GHS 3.86 Billion Amid Tightening Yields

BoG Raises GHS 15.38 Billion via 56-Day Bills to Reinforce Tight Monetary Policy Stance

Passage of Competition Law Key to Tackling DSTV’s Market Dominance – CUTS International

Trending

Business

Value of Mobile Money Transactions Hit GHS 323.2bn in June

August 4, 2025

Value of Mobile Money Transactions Hit GHS 323.2bn in June The total value of mobile money transactions...

Alex Mould Questions BoG’s 25% Policy Rate Amid Ample Market Liquidity and Falling Inflation

August 4, 2025

Chamber of Agribusiness Calls for Sector-Wide Price Cuts and Urgent Government Support to Curb Food Crisis

August 4, 2025

The Perils of Market Interventionism: When Political Pressures Threatens Ghana’s Economic Gains – The Way Forward

August 4, 2025

GAB Projects Drop in Lending Rates Starting August 6 Following BoG’s 300bps Policy Rate Cut

August 4, 2025

Who we are?

NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World

NorvanReports is a unique data, business, and financial portal aimed at providing accurate, impartial reporting of business news on Ghana, Africa, and around the world from a truly independent reporting and analysis point of view.

© 2020 Norvanreports – credible news platform.
L: Hse #4 3rd Okle Link, Baatsonaa – Accra-Ghana T:+233-(0)26 451 1013 E: news@norvanreports.com info@norvanreports.com
All rights reserved we display professionalism at all stages of publications

No Result
View All Result
  • Home
  • Business
    • Agribusiness
    • Aviation
    • Energy
    • Insurance
    • Manufacturing
    • Real Estate
    • Maritime
    • Tourism
    • Transport
    • Banking & Finance
    • Trade
    • Markets
  • Economy
  • Reports
  • Technology
    • Cryptocurrency
    • Cyber-security
    • Social Media
    • Tech-guide
    • Telecom
  • Features
    • Interviews
    • Opinions
  • Lifestyle
    • Entertainment
    • Sports
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
NORVANREPORTS.COM | Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.