Aegean Airlines: Greek Tourism Will Benefit From Olympic Air Acquisition

“The European Commission’s approval of the acquisition of Olympic Air allows the creation of a viable, dynamic Greek carrier” – Aegean Airlines

Greek carrier Aegean Airlines applauded the European Commission’s decision that approves of its acquisition of rival Olympic Air.

“The rationale of the European Commission decision supports the absolute necessity of economies of scale to achieve viability within the Greek aviation market,” Aegean Airlines said in an announcement.

The European Commission announced its decision to allow the acquisition of Olympic Air by Aegean Airlines on 9 October. The Commission said the merger of the two Greek carriers would have no additional negative effect on competition.

According to Aegean, the acquisition of Olympic Air will create the conditions for the establishment of a sustainable Greek carrier, competitive within the Region and capable of supporting a growth momentum which will benefit Greek tourism and the local economy.

Aegean Airlines-Olympic Air Merger

Following EU approval, the acquisition of the shares of Olympic Air and the assumption of management by Aegean is expected to be completed by 18 October 2013.

The total consideration for the transaction has been set at 72 million euros, of which 20 million euros have already been paid.

Upon the completion of the acquisition, Olympic Air will become a subsidiary of the listed Aegean, while the process of unification of the support functions will begin immediately. The two brands and logos of the companies will remain with each one retaining distinct aircraft and flight activity.

The company will host a press conference on October 23, 2013, following the share purchase, to present its customer offering and development plan as well as its 2014 network plans.