Turkey's Pegasus signs 154 million euro deal to buy Czech Airlines, Smartwings

ISTANBUL, Dec 8 (Reuters) - Turkey's Pegasus Airlines said on Monday it had signed a deal to acquire Czech Airlines (CSA) and its subsidiary Smartwings in a transaction worth 154 million euros ($180 million) in total, with the goal of expanding globally.

Pegasus, in a statement on the Istanbul stock exchange platform KAP, said it had concluded a deal with Prague City Air to buy its stakes in CSA, Smartwings and its subsidiaries.

It said the sum of 154 million euros included the debts of both companies.

"The strategic investment aims to strengthen the company's presence in Europe and support global expansion," Pegasus said.

Pegasus shares were up 3% in Istanbul on Monday.

Completion of the deal is conditional upon obtaining the necessary approvals in the Czech Republic and other countries where Smartwings Group operates, with completion expected to take place in 2026, Pegasus said.

Smartwings, the leading leisure carrier based in the Czech Republic, has an air operator certificate in Czech Republic, Slovakia, Poland and Hungary, with a network of 80 destinations in 20 countries.

The Smartwings and Czech Airlines' fleet has 47 aircraft. Smartwings generated around 1 billion euros in revenue in 2024.

Pegasus has a fleet of 127 aircraft, flying to 158 destinations in 55 countries.

($1 = 0.8576 euros)

(Reporting by Canan Sevgili, Arda Dipova, Ceyda Caglayan; Writing by Daren Butler; Editing by Jonathan Spicer, Bernadette Baum and Susan Fenton)