ITA shareholders approve capital raise ahead of Lufthansa investment
December 24, 2024
During an extraordinary meeting, ITA shareholders have approved a €325 million capital raise to be offered to Lufthansa ahead of the latter’s acquisition of a 41% stake in the Italian airline.
Subject to Lufthansa’s subscription to the increase (something it must approve by 15 January), it will then enter ITA Airways with a 41% capital stake, completing a process first proposed in 2023. In July 2024, it had been suggested that Lufthansa’s acquisition of the minority stake would be completed by the end of this year.
ITA shareholders have also approved new company by-laws, allocated to the two shareholders (Lufthansa and the Italian Ministry of Economy and Finance), which will become effective upon Lufthansa’s subscription to the capital increase. The two are also set to appoint a new Board of Directors.
The European commission authority had formally given the planned acquisition the green light in July 2024, something welcomed by the Lufthansa Group, the Italian Ministry of Economy and Finance, and ITA Airways. ITA will become the fifth network carrier in Lufthansa Group’s multi-brand and multi-hub system.
Deutsche Lufthansa CEO Carsten Spohr had previously described the proposed acquisition as “win-tin situation for Italy, ITA Airways and Lufthansa Group,” with “a stronger ITA [to] invigorate competition in the Italian market”.
Options for the acquisition of the remaining shares in ITA Airways have been agreed between the two shareholders and can be exercised from 2025 at the earliest.
