LONDON (dpa-AFX) - International Airlines Group (IAG.L, BAIRY.PK, BAY.L) announced Friday that it has agreed with Globalia to acquire the remaining 80 percent stake in Air Europa.
The deal price is 400 million euros, including 200 million euros upon closing, comprising 100 million euros in IAG ordinary shares and 100 million euros cash. This will be followed by a further 100 million euros payable in cash on each of the first and second anniversaries of closing.
Closing of the deal is expected to take place in around 18 months following receipt of relevant approvals. On completion, the Air Europa brand will be retained under the management of Iberia.
The latest deal follows the conversion made by IAG in August 2022 of a 100 million euros seven-year unsecured loan to Globalia into a 20 percent equity stake in Air Europa.
IAG Board considers the acquisition remains strategically important and positions it to benefit from growth opportunities in the Latin America and Caribbean market, as well as to increase connectivity to Asia.
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