Last edit by: JDiver
Aer Lingus takeover by IAG
Executive summary: Rumours of IAG (International Consolidated Airlines Group, British Airways, IAG Cargo, Iberia and Vueling - Link to Wikipedia article) interest in acquiring EI strengthened in December 2014, with refusals and objections by then 29% owner Ryanair, EI Board of Directors and some Irish government leaders (a 25% stake was held by the Irish government).
Aer Lingus, currently headed by CEO Stephen Kavanagh, was acquired by IAG for €1.36bn in 2015; IAG took full control of Aer Lingus on 02 Sep 2015.
Aer Lingus is working to join the oneworld airline alliance and plans to expand service to the U.S. later this year and next, CEO Stephen Kavanagh said Wednesday.
...Aer Lingus will strive to join the oneworld alliance that counts British Airways and American Airlines among its founding members.
“There are some advantages to joining the big-boys’ club,” Kavanagh said. While Avios will be a competitive tool, “ultimately, we believe that will result in our joining again oneworld,” he said.
Link to USA Today article - 18 May 2016
...Aer Lingus will strive to join the oneworld alliance that counts British Airways and American Airlines among its founding members.
“There are some advantages to joining the big-boys’ club,” Kavanagh said. While Avios will be a competitive tool, “ultimately, we believe that will result in our joining again oneworld,” he said.
Link to USA Today article - 18 May 2016
Aer Lingus is on target to join the OneWorld alliance next year (2017), when it should also be able to benefit from BA's joint venture with American Airlines.
"The next big integration issue will be Aer Lingus coming into the joint business on the transatlantic. That will require some systems changes," said (IAG CEO) Mr Walsh.
Link to article in Independent - 30 Apr 2016
"The next big integration issue will be Aer Lingus coming into the joint business on the transatlantic. That will require some systems changes," said (IAG CEO) Mr Walsh.
Link to article in Independent - 30 Apr 2016
On 26 May 2015, after months of negotiations on a possible IAG takeover, the Irish government agreed to sell its 25% stake in the company. Ryanair retained a 30% stake in Aer Lingus which it agreed to sell to IAG on 10 July 2015 for €2.55 per share. In August 2015, Aer Lingus' shareholders officially accepted IAG's takeover offer. IAG subsequently assumed control of Aer Lingus on 2 September 2015.
Link to Wikipedia article about Aer Lingus
Link to Wikipedia article about Aer Lingus
Aer Lingus IAG take over bid [Master Thread]
#241
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Hopefully it won't be too long before they rejoin OW and we can start logging and using miles with them. I have a few miles I need to burn up and I have been patiently waiting for this (trying to avoid YQ)
#242
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The money bit:
No YQ? Perhaps it will be "lower YQ" like Iberia?
It would be nice to welcome EI back to oneworld, IMO.
BBC Although Aer Lingus' shares rose on Wednesday, at €2.44 they are below the €2.55 a share offer value. Shares in IAG, which owns British Airways and Iberia, were up 1.4%.
However, IAG boss Willie Walsh said that offer "was the limit".
However, IAG boss Willie Walsh said that offer "was the limit".
It would be nice to welcome EI back to oneworld, IMO.
#243
#244
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This is a disappointing turn of events for me. As of now I could use BA to redeem on EI for little YQ. Once BA takes over, I don't expect the YQ to stay the same.
#245
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As some businesses have found, it can be better to own your lower-priced competition and keep (and control) those price differences than to have to fight those differences with a competitor you don't control. Increasing competition from the Middle Eastern carriers will likely prompt IAG to keep EI's pricing structure, including YQ, where it is.
#246
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Clearly IAG are very focussed on EI.
Walsh swaps sunny Kuala Lumpur for sunny Dublin:
http://www.telegraph.co.uk/finance/n...ngus-deal.html
Walsh swaps sunny Kuala Lumpur for sunny Dublin:
http://www.telegraph.co.uk/finance/n...ngus-deal.html
#247
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Dusseldorf the first new route as IAG grows Cork Airport services
It is understood that talks on the IAG takeover underpinned Aer Lingus’s decision to establish the service.
The news came last night as more details on IAG’s specific proposals for Cork Airport emerged, including the seven-year guarantee on the London Heathrow slots, commitments to continue the Paris and Amsterdam services, and a commitment to further exploit the short-haul opportunities provided by IAG’s expansive European network.
European Affairs Minister Dara Murphy said the proposed sale would be “just the catalyst for growth” Cork Airport has been waiting for after years of falling passengers numbers.
http://www.irishexaminer.com/ireland...es-333262.html
It is understood that talks on the IAG takeover underpinned Aer Lingus’s decision to establish the service.
The news came last night as more details on IAG’s specific proposals for Cork Airport emerged, including the seven-year guarantee on the London Heathrow slots, commitments to continue the Paris and Amsterdam services, and a commitment to further exploit the short-haul opportunities provided by IAG’s expansive European network.
European Affairs Minister Dara Murphy said the proposed sale would be “just the catalyst for growth” Cork Airport has been waiting for after years of falling passengers numbers.
http://www.irishexaminer.com/ireland...es-333262.html
#248
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IAG boss Willie Walsh wants expanded Aer Lingus to target Asian destinations
Originally Posted by The Irish Independent
Aviation chief Willie Walsh sees opportunities for Aer Lingus in destinations like India, Japan and China.
"You'd start with India, Japan and China," he said.
"I think China could be a real opportunity as Ireland has real trade links with China. Our experience with BA in China is that it is a slow burn and takes a long time."
#249
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Interesting if they manage to do it. China is and has been a wish list for DUB. Either by a Chinese carrier ( most likely ) and to a much lesser extent Aer Lingus. The Far East has been looked a few times at DUB HQ but it was always considered too risky. If anyone can make it work IAG can as it will bring in much needed experience of the Chinese market and even then its been tough.
#250
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Sort of OT, but still interesting:
Dublin has crept up from last year's 6th, to this summer's 5th, busiest European airport for transatlantic seats on the basis of these figures:
Full article here.
Dublin has crept up from last year's 6th, to this summer's 5th, busiest European airport for transatlantic seats on the basis of these figures:
Full article here.
#251
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Snips and bits from the been today (link):
"The Competition and Markets Authority (CMA) said Ryanair must cut its stake in Aer Lingus from 29.8% to 5%."
Ryanair appealed, the High Court affirmed in April; Ryanair has appealed to the Supreme Court since.
"If the Supreme Court agrees to hear the case, it could lead to a lengthy delay in the takeover of Aer Lingus by IAG."
and the denouement: "Mr O'Leary recently said his company would consider any offer from IAG for its shares but it is believed that he wants further concessions from IAG, including a number of its slots at Heathrow airport." Not to mention a better price.
BBC © 2015
"The Competition and Markets Authority (CMA) said Ryanair must cut its stake in Aer Lingus from 29.8% to 5%."
Ryanair appealed, the High Court affirmed in April; Ryanair has appealed to the Supreme Court since.
"If the Supreme Court agrees to hear the case, it could lead to a lengthy delay in the takeover of Aer Lingus by IAG."
and the denouement: "Mr O'Leary recently said his company would consider any offer from IAG for its shares but it is believed that he wants further concessions from IAG, including a number of its slots at Heathrow airport." Not to mention a better price.
BBC © 2015
#252
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And what would Ryanair do with these slots at Heathrow???
(As far as I know, he can't do anything with these slots - such as sell them on or lease them out - unless he has used them himself. It's the same reason why Aer Lingus's slots could not be sold/given to an entity like the Irish Government. So is he going to slot-sit and base an FR jet at LHR for a season (or however long it takes) just to then be able to sell/lease them out??)
(As far as I know, he can't do anything with these slots - such as sell them on or lease them out - unless he has used them himself. It's the same reason why Aer Lingus's slots could not be sold/given to an entity like the Irish Government. So is he going to slot-sit and base an FR jet at LHR for a season (or however long it takes) just to then be able to sell/lease them out??)
#253
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#254
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RTE reporting that EU Competition Authority are due to rule on the takeover on July 15. Unspecified concessions offered by IAG to mitigate competition concerns. http://www.rte.ie/news/business/2015...ag-aer-lingus/
#255
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Ryanair votes to accept IAG offer for Aer Lingus
Deal would pave way for British Airways owner IAG’s €1.3bn takeover of Aer Lingus
Ryanair said it will accept IAG’s offer for its stake in Aer Lingus, paving the way for the British Airways-owner’s €1.3 billion takeover of the Irish carrier to go ahead.
European Union approval for the deal is now the last remaining hurdle to IAG’s plan to buy Aer Lingus and build a new transatlantic hub at Dublin airport.
IAG’s bid for Aer Lingus had been conditional on agreement from Europe’s biggest budget airline Ryanair, which holds a 30 per cent stake in Aer Lingus.
http://www.irishtimes.com/business/t...ngus-1.2280218
Deal would pave way for British Airways owner IAG’s €1.3bn takeover of Aer Lingus
Ryanair said it will accept IAG’s offer for its stake in Aer Lingus, paving the way for the British Airways-owner’s €1.3 billion takeover of the Irish carrier to go ahead.
European Union approval for the deal is now the last remaining hurdle to IAG’s plan to buy Aer Lingus and build a new transatlantic hub at Dublin airport.
IAG’s bid for Aer Lingus had been conditional on agreement from Europe’s biggest budget airline Ryanair, which holds a 30 per cent stake in Aer Lingus.
http://www.irishtimes.com/business/t...ngus-1.2280218