Tourexpi
The
convertible share will be changed into ordinary shares upon a potential IPO of
air Baltic. The size of the stake will be determined by market pricing of the
potential IPO, with Lufthansa Group’s share amounting to no less than 5 per
cent of airBaltic.
The
transaction is building on the existing wet lease agreement between Lufthansa
Group and airBaltic and intends to strengthen airBaltic’s role as a strategic
partner of Lufthansa Group. Expanding this commercial cooperation allows
Lufthansa Group to improve the quality of its network and to add additional
markets. Additionally, a further product development of the wet lease services
in line with our customer expectations is planned.
The
closing of the transaction is planned for the second quarter of this year and
subject to antitrust review.
Just
recently, the wet lease agreement between Lufthansa Group and airBaltic has
been extended for a further three years beyond the summer of 2025. This
partnership enables to flexibly deploy up to 21 additional aircraft of the
fuel-efficient Airbus A220-300 in summer and five aircraft of this type in
winter at various Lufthansa Group hubs. Lufthansa Group is thus responding more
flexibly to the additional customer demand in Summer.
With
the additional capacities of airBaltic, destinations in high demand in the
route networks can be served even more flexibly in future. At the same time, it
strengthens the quality and stability of connections to Lufthansa Group
Airlines' intercontinental services at the Group's hubs.
airBaltic
is Latvia’s national and largest airline with its headquarters and hub in Riga
and operates a fleet of 50 modern and fuel-efficient Airbus A220 aircraft. The
Lufthansa Group has been working with airBaltic since 2019, which has proven
itself to be a reliable and valuable partner.
Image
Credit: © Lufthansa Group
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