REG - Intl Con Airline Grp - IAG terminates acquisition of Air Europa

International Consolidated Airlines SAAnnouncement

01/08/2024 17:00

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RNS Number : 8336Y  International Cons Airlines Group  01 August 2024

INTERNATIONAL CONSOLIDATED AIRLINES GROUP, S.A.

Termination by IAG of the sale and purchase agreement for Air Europa

 

International Airlines Group ("IAG") today announces its decision to terminate
the agreement with Globalia signed on 23 February 2023, pursuant to which IAG
agreed to acquire from Globalia the remaining 80 per cent of issued share
capital of Air Europa (the "Agreement"). The Board of Directors has concluded
that in the current regulatory environment it would not be in the best
interests of shareholders to continue with the transaction.

In accordance with the terms of the Agreement, IAG will pay Globalia €50
million as a break fee as a result of the termination.

IAG continues to hold its 20 per cent minority equity stake in Air Europa
which it acquired on 16 August 2022.

Luis Gallego, IAG's chief executive, said:

"We believe this decision is in the best interests of our shareholders. IAG
remains committed to its strategy, including competing effectively from its
Madrid hub. This is a strategy which is delivering strong results. We will
continue to develop our presence in Madrid so that the hub can develop as a
rival to Europe's largest hub airports.''

 

Nicholas Cadbury

Chief Financial and Sustainability Officer

 

1 August 2024

 

 

LEI: 959800TZHQRUSH1ESL13

This announcement contains inside information and is disclosed in accordance
with the Company's obligations under the Market Abuse Regulation.

 

 

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