Report: LOT Polish Airlines loses bid to buy Czechia’s Smartwings

Lufthansa Group's Discover Airlines and the Turkish Airlines-Lufthansa Joint Venture, SunExpress, were also in discussions for Smartwings.

Prague, Czech Republic - August 04, 2022: Smartwing Boeing B737-8 MAX during taxiing to runway for take off from Vaclav Havel Airport Prague.

Reports from Poland suggest that that LOT Polish Airlines has lost its bid to purchase Czechia’s low-cost carrier, Smartwings.

The deal would have substantially increased LOT’s market presence in central Europe, as well as its fleet size. Industry insight had it in the final stages, with ch-aviation reporting just this week that the deal was expected to be finalised by the end of the year.

LOT Polish Airlines declined to comment.

LOT Polish Airlines loses the Smartwings deal

Sources told Poland’s money.pl on Sunday that the country’s national airline would not be selected to purchase a stake in Czechia’s Smartwings. It is not immediately clear what transpired between the parties, though the deal was reportedly in the final stages.

The report stated that Smartwings had decided to sign an agreement with “another airline” though the details are not known. Speculation suggests a Turkish airline might be involved, and further information is expected on Monday.

The Polish government was also quite sure about the deal going through. It was planning a press conference on Monday, with publications on Twitter showing a backdrop with the two airlines’ logos.

When asked by Aerospace Global News, LOT’s Chief Executive Officer, Michał Fijoł declined to comment.

LOT Polish loses an otherwise sure bet

Speaking to Aerospace Global News, Polish aviation expert and Journalist for money.pl, Marcin Walków, said that one of the main interests for LOT Polish Airlines was Smartwings’ Boeing 737 MAX fleet.

Smartwings Boeing 737 MAX aircraft landing
Photo: gordzam | stock.adobe.com

“Thanks to this transaction, LOT would be able to quickly expand its medium-range fleet. Smartwings also uses Boeing 737s, including MAX aircraft. While negotiations were still ongoing and LOT seemed to be a “sure bet,” Polish experts pointed to this aspect as the greatest benefit of the transaction in terms of developing the route network and transfer traffic for the Central Communication Port.”

Smartwings’ Fleet

Aircraft type Number in fleet Average age
Airbus A220-300 4 0.8 Years
Airbus A320-200 2
Boeing 737-800 24 17.0 Years
Boeing 737-900ER 2 16.1 Years
Boeing 737 MAX 8 13 4.8 Years
Total 45

Source: Planespotters.net / Smartwings Fleet Details & History

LOT Polish Airlines’ current 737 MAX fleet consists of 18 examples with a further three on order.

“We know how big a problem waiting times for new aircraft are for the industry,” Walków continued. “Now LOT will have to look for another way.”

Who will buy Smartwings in the end?

Two other airlines were apparently involved in discussions as well. This includes Discover Airlines and SunExpress, according to TVP World.

Discover Airlines is a wholly-owned subsidiary of the Lufthansa Group, operating primarily to leisure destinations worldwide from Germany at generally lower operating costs. SunExpress, meanwhile, is a joint venture between Lufthansa Group and Turkish Airlines. It offers scheduled and chartered passenger flights, with a focus also on the leisure market.

Smartwings is a wholly owned subsidiary of Czech Airlines, which operated its final flight under its own brand in October last year. Roughly half of Smartwings’ business comes from charter operations.

Smartwings Boeing 737 MAX aircraft taxiing to the runway.
Photo: alfonsosm | stock.adobe.com

Smartwings offers a substantial operation out of Poland already as well. Data from aviation analytics firm Cirium shows that the carrier has scheduled flights to 9 cities from Warsaw this month.

Featured image: Chalabala | stock.adobe.com

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