In this article, John Grant discusses the possible sale of ITA Airways and the acquisition of TAP Air Portugal by Lufthansa Group, IAG, or Skyteam Alliance. Given the size of the European airline market, the acquisition of TAP Air Portugal could have far-reaching implications for the industry and the competition authorities around Europe and South America will have to evaluate the situation.
Covid-19 may have shaken up the airline industry, but throughout the two-year event there were surprisingly few airline failures; yes, dramatic reductions in network sizes, adjusted schedules and the accelerated withdrawal of some aircraft types – but most airlines seem to have survived, if slightly bruised from the event.
Equally, we didn’t see any interest in airline consolidation, since it was hard to understand what the eventual state of the industry would look like and who the survivors would be. However, as travel recovery gathers pace, there are developments that should make for an…
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