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    Home > Finance > Lufthansa in talks with Air Europa to acquire a minority stake, sources say
    Finance

    Lufthansa in talks with Air Europa to acquire a minority stake, sources say

    Published by Global Banking and Finance Review

    Posted on January 28, 2025

    1 min read

    Last updated: January 27, 2026

    The image depicts the Lufthansa and Air Europa logos, highlighting the ongoing negotiations for Lufthansa to acquire a 20% minority stake in Air Europa, as reported in financial news.
    Lufthansa and Air Europa logos representing potential minority stake acquisition - Global Banking & Finance Review
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    Tags:equityinvestmentfinancial communitycorporate strategy

    Quick Summary

    Lufthansa is negotiating to acquire a 20% stake in Air Europa, which seeks funds to repay pandemic loans. Both airlines have not commented on the talks.

    Lufthansa Negotiates to Acquire Minority Stake in Air Europa

    LONDON (Reuters) -German airline group Lufthansa is in talks with Spanish carrier Air Europa about the possibility of acquiring a minority stake, according to two sources with knowledge of the talks.

    The airline is 20% owned by BA-parent IAG, which backed out of taking full ownership last year due to regulatory concerns.

    Air Europa is seeking funds to pay an outstanding package of loans worth a total of 475 million euros ($491.8 million) granted by the government during the pandemic.

    According to Spanish newspaper el Economista, the discussion with Lufthansa is about the German flag carrier taking a 20% stake in Air Europa. One source told Reuters the talks were focused on a stake around 20%.

    Air Europa and Lufthansa declined to comment.

    Air Europa owner Globalia said in November that Air France-KLM was potentially interested in a 20% stake in the carrier.

    (Reporting by Joanna Plucinska, Inti Landauro, Ilona Wissenbach and Andres Gonzalez; editing by Jason Neely, Kirsten Donovan)

    Key Takeaways

    • •Lufthansa is in talks to acquire a 20% stake in Air Europa.
    • •Air Europa seeks funds to repay €475 million in loans.
    • •IAG previously withdrew from acquiring Air Europa due to regulatory issues.
    • •Air France-KLM also showed interest in Air Europa.
    • •Both airlines declined to comment on the ongoing talks.

    Frequently Asked Questions about Lufthansa in talks with Air Europa to acquire a minority stake, sources say

    1What is Lufthansa considering acquiring from Air Europa?

    Lufthansa is in talks to acquire a minority stake in Air Europa, potentially around 20%.

    2Why does Air Europa need funding?

    Air Europa is seeking funds to pay an outstanding package of loans worth a total of 475 million euros, granted by the government during the pandemic.

    3Who currently owns Air Europa?

    Air Europa is 20% owned by IAG, the parent company of British Airways, which previously backed out of full ownership due to regulatory concerns.

    4What other airline showed interest in Air Europa?

    Air France-KLM was mentioned as potentially interested in acquiring a 20% stake in Air Europa.

    5Did Lufthansa or Air Europa comment on the talks?

    Both Lufthansa and Air Europa declined to comment on the ongoing discussions.

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