MADRID, July 28 (Reuters) – IAG ICAG.L, the dad or mum of British Airways and Spain’s Iberia, is shut an settlement to halve the price of its deliberate 1 billion euro ($1.17 billion) acquisition of Spanish rival Air Europa, newspaper Cinco Dias reported on Tuesday.
Air Europa’s price tag could be lowered to 500 million to 600 million euros, the newspaper mentioned. The brand new phrases of deal may very well be introduced this week, Cinco Dias added.
With the acquisition of Air Europa, IAG intends to extend its routes to Latin America and the Caribbean. Because the deal was introduced in November, the airline business has been battling its largest ever disaster due the impression from the COVID-19 disaster. .
Iberia and Globalia, proprietor of Air Europa, declined to remark.
In June, the Chief Government Officer IAG had instructed newspaper El Pais that the corporate was reviewing its deliberate acquisition of Air Europa.
($1 = 0.8524 euros)
(Reporting by Jesús Aguado; enhancing by Louise Heavens)
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