German airline group Lufthansa is negotiating with Spanish carrier Air Europa regarding the potential acquisition of a minority stake, according to sources familiar with the discussions.
The airline is 20% owned by BA-parent IAG, which backed out of taking full ownership last year due to regulatory concerns, News.Az reports, citing Reuters.Air Europa is seeking funds to pay an outstanding package of loans worth a total of 475 million euros ($491.8 million) granted by the government during the pandemic.
According to Spanish newspaper el Economista, the discussion with Lufthansa is about the German flag carrier taking a 20% stake in Air Europa. One source told Reuters the talks were focused on a stake around 20%.
Air Europa and Lufthansa declined to comment.
Air Europa owner Globalia said in November that Air France-KLM was potentially interested in a 20% stake in the carrier.
