MILAN: Germany’s Lufthansa (LHAG.DE) is set to buy a 40% stake in state-owned Alitalia’s successor ITA Airways and a deal could be unveiled next week, Italian daily Il Foglio reported on Saturday.
ITA Airways started flying on Oct. 15 with nearly 2,300 employees and a fleet less than half the size of that operated by Alitalia, the 75-year old former national carrier which passed through a dizzying succession of restructurings and changes of ownership.
The newspaper did not give a price for any deal but said the two companies were very close to agreeing over some key terms, such as the role of Rome’s Fiumicino airport as a hub for direct flights to Africa and some routes to the Americas.
An ITA spokesperson said that the airline’s top management would present a strategic plan to the company’s board on Jan. 31. A data room would be opened in the following days, he added, allowing a potential bidder or partner to have access to key financial documents to assess the value of the company.
Authorized by the European Commission, Germany, Switzerland, Austria, and Belgium contributed $10.21 billion in financial help to keep the firm from going bankrupt.
A spokeswoman for the German ministry of economy declined to comment on the Italian daily article.
As per Il Foglio, approval from the competition authorities of the European Union would be necessary for a transaction with ITA.
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