Lufthansa–ITA merger turbulence as Condor adds to legal woes
ITA Airways’ merger with Lufthansa Group is facing fresh legal turbulence, as two rival carriers move to challenge the European Commission’s approval of the deal in court.
German leisure airline Condor has joined Luxembourg-based Luxair in filing lawsuits arguing that the Commission’s remedies fail to protect fair competition.
Condor launched its legal challenge on 21 May, seeking annulment of the EU’s decision to green-light Lufthansa’s acquisition of a 41 percent stake in ITA Airways.
“The remedies imposed are not sufficient to offset the harm to, or even elimination of competition resulting from this transaction,” a Condor spokesperson was quoted as saying.
Condor joins Luxair in dissatisfaction with the Lufthansa – ITA deal
Luxair, meanwhile, filed its case on 28 April. While the airline clarified that it is not opposing the merger in principle, nor targeting Lufthansa or ITA specifically, it has taken issue with how the Commission has handled one critical element of the deal: slot allocation at Milan Linate Airport.
The airport is one of the most congested in Italy and access is tightly restricted, making the distribution of slots a contentious issue.
The European Commission had approved the Lufthansa–ITA transaction on the condition that the airlines divest a number of slots at Linate and take other steps to mitigate market dominance on certain short-haul routes.
But Luxair is challenging the decision to award all of the released slots to a single carrier, which it says undermines competition.
What does this mean for the Lufthansa–ITA deal and European aviation?
With two separate legal actions now underway, the Lufthansa–ITA deal is entering a more complicated phase.
The cases could have wider implications for how the EU handles competition remedies in future airline mergers, particularly around slot access at major European airports.
The European General Court’s decision will be closely watched across the aviation industry.
