Lufthansa’s acquisition plan of ITA Airways enters a new phase

The acquisition of ITA Airways by Lufthansa Group has entered a new phase. Lufthansa and the Italian Ministry of Economy and Finance have formally notified the European Commission on Thursday after a lengthy pre-notification phase that took longer than expected. Brussels will now review the proposal and has to decide no later than January 15 what conditions will apply to approve the deal.

Lufthansa and the Italian government agreed on May 25 on the partial privatization of ITA Airways. The German airline group wants to acquire 41 percent of ITA for €325 million, while the Italian State will inject €250 million into the airline.

Lufthansa has the option to buy the remaining 59 percent of ITA Airways at a later stage, but CEO Carsten Spohr and Chief Financial Officer Remco Steenbergen that they will only do this if the Italian carrier meets certain financial targets. Lufthansa expects to turn around the losses

of ITA within two years of closing the acquisition, which is expected to close later in 2024.