Ryanair CEO Pessimistic About Aer Lingus Buy

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Source: Airwise

Ryanair CEO Pessimistic About Aer Lingus Buy
March 12, 2007

The chief executive of Irish airline Ryanair told a German newspaper in an interview published on Monday he was pessimistic about the likely success of Ryanair's takeover bid for Aer Lingus.

Owners of a majority of stock in Irish national carrier Aer Lingus, including the Irish government, have so far opposed the bid, which the European Commission is examining.

Ryanair's takeover bid has lapsed but the company has said if it wins approval from the Commission on competition grounds it will renew it. The Commission last month extended the deadline for its examination of the bid until June 13.

Asked by the Sueddeutsche Zeitung whether the takeover would still succeed, Ryanair's Chief Executive Michael O'Leary said: "It's rather unlikely. We want to wait to find out what conditions the Commission will impose and then we'll reconsider."

"But I don't believe anything will happen before the elections in Ireland. The government, which after all still has a stake in Aer Lingus, is ultimately against the takeover."

Ireland is expected to hold a general election in May or June of this year.

O'Leary added he was not thinking about alternative takeovers. "I don't see anything at the moment that we would buy," he said.