IAG to acquire remaining shares of Air Europa

On 24 February 2023, Globalia, the parent company of Air Europa, announced it has reached an agreement with the International Airline Group (IAG) for the sale of the remaining 80% of Air Europa to IAG. In total, IAG will be paying 400 million euros for the shares, after having already acquired 20% for 100 million euros last year. The deal is subject to approval from the various competition authorities involved.

The deal is the second attempt by IAG to acquire Air Europa. On 4 November 2019, IAG and Globalia reached a deal to sell the airline for 1 billion euros but the pandemic put a stop to the deal, which was officially called-off on 15 December 2021.

Once completed, IAG will be, by far, the largest airline group operating out of Madrid-Barajas with a total market share of 67%. It's expected that the group will be forced to reduce its market share in order not to smother competition.

Initially, Air Europa will be operated as a separate brand within IAG. Today, the company operates an all-Boeing fleet, consisting of 21 B737-800s, eleven B787-8s, and twelve B787-9s.

Photo by Anton Homma.