Ita-Lufthansa, agreement reached. Giorgetti: "Untied a knot". This is what the company will be like

Ita-Lufthansa, agreement reached.  Giorgetti: "Untied a knot".  This is what the company will be like

ROME. Eventually the agreement came. The Minister of Economy and Finance Giancarlo Giorgetti and the CEO of Deutsche Lufthansa Carsten Spohr met today at the Mef and confirmed the conclusion of the agreement: the acquisition of Lufthansa in Ita Airways of a minority stake after already shared the company's industrial plan, which forecasts revenue growth of 2.5 billion euros expected this year and 4.1 billion euros expected for 2027. At the meeting - informs a note from the MEF. the president of ITA, Antonino Turicchi also attended. Once signed, the agreement will now be submitted to the Italian Court of Auditors and notified to the EU's Directorate General (DG) for Competition for appropriate clearances.

The development strategy of Ita Airways - a joint note explains - will continue to be shared between the two shareholders (Mef and Lufthansa). These results will allow for the growth and renewal of the fleet, which at the end of 2027 will number 94 aircraft compared to the current 71, with an average age of five years, and will guarantee the optimization of fuel consumption and environmental impact. The workforce, expected this year at 4,300 units thanks to the 1,200 recruitments being finalised, will rise to over 5,500 at the end of the Plan.

The bills

A 41% stake in the company will go to the German partner while the Mef will remain 59% with the prospect of selling this stake in a few years, presumably 2026 when Ita is expected to break even.

The Fiumicino hub

ITA Airways' strategy aims to establish itself as a reference player among full service carriers in the three intercontinental, international and domestic sectors, with particular attention to long-haul traffic. This strategic repositioning will also make it possible to further strengthen traffic at the Rome Fiumicino hub, which will play a central role in the Lufthansa Group's multi-hub model. "ITA Airways will continue to be the reference airline of the Italian country and to proudly represent Italy in the world, guaranteeing connections within the country and with the rest of the world, supporting the development of tourist and business flows", reads the statement.

Minister's statements
«Today closes a path that has marked the history of the national flag carrier with the prospect of integration with an important European carrier – commented Giorgetti -. With this government, a knot that has been conditioning the air transport market in Italy for thirty years is now untied. We are convinced that this decision will allow the air market to develop in Italy's interest».

German moves
For Lufthansa CEO Carsten Spohr «today's agreement will lead to a win-win situation for Italy, ITA Airways and Lufthansa Group. This is good news for Italian consumers and for Europe, because a stronger ITA will strengthen competition in the Italian market. As a young company with a modern fleet and with its own growing and efficient hub in Rome, ITA is the perfect fit for the Lufthansa Group. In Milan, ITA covers a large catchment area that also offers growth potential. As part of the Lufthansa Group family, ITA can develop into a sustainable and profitable airline, connecting Italy with Europe and the world. At the same time, this investment will enable us to continue our growth in one of our most important markets."

Source link