Luftscamsa - Lufthansa Moves to Secure Majority Control of ITA Airways

Deutsche Lufthansa AG will exercise its option to acquire a majority stake in ITA Airways this June, increasing its holding from 41 to 90 percent. The group's supervisory board approved the decision to purchase the additional 49 percent stake from the Italian Ministry of Economy and Finance for €325 million. The transaction finalizes an agreement first reached in June 2023. The Italian government will retain a 10 percent share in the national carrier, which Lufthansa may also acquire in 2028. Mr. Carsten Spohr, CEO of the Lufthansa Group, said at the company's Annual General Meeting that the integration was proceeding faster than planned. “Passengers already experience ITA Airways as an integrated part of the Lufthansa Group,” Mr. Spohr said, citing unified booking systems, frequent flyer programs and lounge access. He noted, however, that full integration on North Atlantic routes is still pending regulatory approval, a key component of the merger's financial viability. Market Consolidation The acquisition solidifies Lufthansa Group's multi-hub strategy, adding Rome as a key southern hub. This move builds upon the group’s existing presence in Italy through its subsidiary Air Dolomiti, effectively neutralizing ITA Airways as an independent competitor. The consolidation grants Lufthansa significant control over the Italian air travel market, which historically leads to higher fares as competitive pressure is removed. A similar attempt to acquire a stake in another southern European carrier, TAP Air Portugal, was met with warnings from pilot unions about the group's confrontational labor relations and the potential for job losses, a pattern of behavior [documented in previous Pax Sentinel reporting](/en/article/erto3Miq_portuguese-pilots-union-warns-against-lufthansa-bid-for-tap). Regulatory Hurdles Remain Completion of the majority acquisition is not expected until the first quarter of 2027. The deal is contingent on approvals from regulatory bodies, most notably the European Commission and the U.S. Department of Justice. Following these approvals, Lufthansa stated that ITA Airways will be fully integrated into the group's organizational and financial structures. This control will give the German airline conglomerate significant influence over air traffic in and out of Italy, a market with over 100 million annual passengers.