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alitalia

This tag is associated with 2 posts

ABSTRACT: IAG (International Airline Group) acquires Ireland’s Aer Lingus and gains 23 valuable slots at Heathrow, while oneworld partner Qatar Airways buys 10% of IAG, Europe’s highly fragmented airline industry with 200+ airline groups where the top 5 airlines by traffic have a 46% market share compared to 87% in the highly consolidated and concentrated US market, and a new stage of European consolidations will soon begin, as state aid is all but gone now, and already in 2015 both Cyprus Airways and EuroLOT are shut down, Lufthansa Group and Air France-KLM Group both struggle with sustainable profitability and many of the remaining small carriers are waiting for a “white knight” before they go bankrupt, meanwhile most of the recent European airline acquisitions have been from outside of Europe, the industry is changing, and many airline bankruptcies are expected as there are no more “white knights” around like Etihad Airways to rescue the weak and struggling airlines.

The Irish national carrier, Aer Lingus is being acquired by IAG (International Airline Group, LSE:IAG), the 6th largest airline group in the world with revenue of $US 24.7 B (billion) and the parent of British Airways, Spain’s Iberia and LCC Vueling, valuing the airline at Euro 1.36 billion (+/- $US 1.53 billion). Under current CEO … Continue reading

ABSTRACT: Etihad Airways (aka “White Knight”) buys 49% of money loosing Alitalia for $2.4 billion and adds its 8th Equity Alliance partner, and the 3rd big partner that desperately needs cash along with Air Berlin and Jet Airways just to survive, it saved much smaller partners Air Seychelles and Air Serbia (ex-JAT) from certain death, and does anyone remember Swissair’s infamous “Hunter Strategy” ? it acquired equity in 10 European airlines and it collapsed in 2002 ! well this Etihad Equity Alliance strategy is nothing like it.

The unique Equity Alliance strategy followed by Etihad Airways CEO Mr. James Hogan is really taking off as Etihad Airways has just signed a $US 2.4 billion deal to buy 49% of Italy’s struggling Alitalia, and in one move Etihad gains access to Europe’s 4th biggest market. Hats off to James Hogan for the creative … Continue reading