During a shareholders’ meeting on December 20, ITA Airways approved a capital increase that would be offered to Lufthansa Group
, enabling the German airline group to acquire an initial stake in the Italian carrier.
Acquiring a 41% stake
On December 20, ITA Airways
held its extraordinary shareholders’ meeting, in which it approved a €325 million ($338 million) capital increase that will be exclusively offered to Lufthansa Group. The German airline group has until January 15, 2025, to subscribe to the increase in order to acquire a 41% stake in ITA Airways.
The Italian company added that it approved its new by-laws, including specific changes to the prerogatives and rights for the management of its operations to its old – Italian Ministry of Economy and Finance (Ministero dell’Economia e delle Finanze, MEF) – and new – Lufthansa Group – shareholders.
Photo: Vincenzo Pace | Simple Flying
The new by-laws will come into effect as soon as the German company subscribes to the capital increase, ITA Airways noted. Subsequently, the Italian airline will plan an ordinary shareholders’ meeting to enable the MEF and Lufthansa Group to appoint a new board of directors.
“The completion of these formalities will mark the beginning of a new era for national and continental air transport, with ITA Airways entering the largest European civil air transport group.”
The Lufthansa Group and MEF cleared the final regulatory hurdles on November 29, when the European Commission (EC) approved easyJet, Air France-KLM
, and the International Airlines Group (IAG) as remedy takers under the commitments made by the German-Italian shareholders of ITA Airways to alleviate the Commission’s competition concerns.
Related
Lufthansa & ITA Airways Take A Step Further In Merger As EU Approves Necessary Remedies
Air France-KLM and International Airlines Group will step in to ensure long-haul competition from Italy to North America.
Changes in Italy
As a result, easyJet
has already announced a significant capacity increase on flights from/to Italy, including the opening of two new bases at Milan Linate Airport (LIN) and Rome Leonardo da Vinci Fiumicino Airport
(FCO).
The UK-based low-cost carrier has announced at least 16 new routes from Milan-Linate
, which will be enabled by easyJet setting up a five-aircraft base. Some of the new routes include direct flights to Lufthansa Group’s other hubs, such as 
Frankfurt Airport
(FRA) or Vienna Airport (VIE).
Photo: Markus Mainka | Shutterstock
While the EC designated Air France-KLM and IAG
as the remedy takers for long-haul routes between Italy and the United States, “for instance through interlining agreements or slot swaps,” neither of the groups has announced any developments related to Lufthansa Group’s acquisition of an initial stake in ITA Airways.
The German airline group has reiterated that ITA Airways would become the fifth network carrier within the group, joining Austrian Airlines
, Brussels Airlines
, Lufthansa, and Swiss International Air Lines ( SWISS
) in that role, which is complemented by the group’s leisure – such as Eurowings
or Edelweiss Air – and feeder – like Air Dolomiti or Lufthansa City Airlines
– carriers.
Related
easyJet Opens 16 Routes At New Milan Linate Base Through ITA Airways-Lufthansa Deal
In total, easyJet has unveiled 25 new routes from Milan Linate Airport, Milan Malpensa Airport, and Rome Fiumicino International Airport.
Importance of adding Rome to its hub network
Meanwhile, 
Lufthansa Group’s
executives have expressed that adding Rome-Fiumicino to the group’s hub network will enable the company and the broader European airline industry to improve its competitive stance versus the US-based carriers.
Photo: rarrarorro | Shutterstock
Furthermore, unlike other airports, especially in Germany, where the government has substantially hiked aviation taxes, the Italian capital’s airport provides a lower-cost alternative to the group, which already hinted that Rome could be used to develop its network across Africa and Latin America.
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Examined: How Lufthansa’s Merger With ITA Airways Will Alter The US-Italy Route Network
ITA Airways is planning to serve up to six destinations in the US during the upcoming summer season.
