Lufthansa’s planned acquisition of a 41% stake in Italy’s ITA Airways is expected to boost the German airline’s profits by hundreds of millions of euros in the coming years, according to CEO Carsten Spohr. In an interview, Spohr discussed the strategic move, which marks the conclusion of years of negotiations.
The German flagship carrier acquired the minority stake for 325 million euros ($335 million) on January 13, finalizing a deal that involves ITA, the successor to the now-defunct Alitalia. Spohr emphasized that Lufthansa would not have pursued the acquisition without the expectation of a significant contribution to its earnings. “Without the prospect of a contribution to earnings in the three-digit million range, we would not have taken this step,” Spohr stated.
The European Commission’s approval of a package of competition remedies in November paved the way for the deal by securing more routes for Lufthansa’s competitors, clearing the regulatory path for the acquisition.
Looking ahead, Spohr reiterated that Lufthansa’s long-term goal is to fully acquire ITA, describing a 100% takeover as a “clear goal.” However, he clarified that increasing Lufthansa’s stake in ITA is not currently planned for 2025.
Spohr also noted that it is important for Lufthansa to maintain the cooperation of the Italian government in the coming months. The integration of the two companies will require approximately 18 months, during which their systems will be fully merged.
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