News: Ryanair shareholding detering Aer Lingus investors
Flights > News > # 2399 (28/01/2010)
Aer Lingus has said that its rival Ryanair's shareholding is deterring potential investors.
The Irish flag carrier’s chief executive, Christoph Mueller, has claimed that bosses of European carriers had cited Ryanair's 29 per cent ownership of the business as an obstacle to any deal.
He said: "A minority shareholding from an alliance partner is restricted by Ryanair. The shareholding works as a poison pill."
Potential investment partners in the loss-making airline include British Airways and US operator United Airlines, with whom it has strategic alliances. But Mueller said a corporate tie-up with another airline was impossible while Ryanair stays on the share register.
"The fact that Ryanair is a shareholder is a limiting factor in attracting other airline shareholders in the framework of a global alliance," he added.
Aer Lingus described itself as "Ireland's civilised airline" as it unveiled a plan to position itself midway between no-frills Ryanair and high-end airlines such as British Airways.
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