International Consolidated Airlines Group (IAG) announced today that Iberia, its subsidiary, agreed to acquire Air Europa for €1 billion.
This acquisition will transforms IAG’s Madrid hub into a true rival to Europe’s four largest hubs: Amsterdam, Frankfurt, London-Heathrow and Paris-Charles De Gaulle. It will also re-establishes IAG as a leader in the highly attractive Europe to Latin America and Caribbean market. Completion of the acquisition is expected to take place in 2020 following receipt of relevant approvals.
The Air Europa brand will initially be retained and the company will remain as a standalone profit centre within Iberia.
— Air Europa