Ryanair Bids for Aer Lingus | Airports International

An Aer Lingus A330 gets serviced at Dulles this past May. Photo: Doug McElroy – OPShots Contributor

// Low-cost carrier Ryanair has announced its intention to make an all-cash offer of €1.30 (US$1.65) per share for the entire share capital of fellow Irish carrier Aer Lingus, valuing the company at €694 million ($880m).

The announcement comes only days after Ryanair “welcomed” the decision by the UK Office of Fair Trading (OFT) to refer its existing 29.82% stake in Aer Lingus to the UK Competition Commission for review.

The offer will be made through Ryanair’s wholly-owned subsidiary Coinside Limited. Ryanair has stated that its valuing represents a 38.3% premium over Aer Lingus’ closing share price yesterday (June 19), and a 46.7% premium over the last six months.

Ryanair claims that the European air transport market is “inexorably” consolidating into five large airlines – Air France, British Airways, easyJet, Lufthansa and Ryanair – and that its acquisition of Aer Lingus would best secure the Irish flag carrier’s future by reducing its fares and costs and “reversing its recent traffic decline”.

via Ryanair Bids for Aer Lingus | Airports International | The Airport Industry online, the latest airport industry news.

About the author

Chuck Slusarczyk Jr.

I started OPShots in June 2006 as a place to share and display aviation photos without the often restrictive policies of other aviation websites. I want to share my love of aviation with fellow aviation geeks and provide a spotlight on Cleveland Hopkins International airport in the process.

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