Fusiones y Adquisiciones

🛫 TAP's sale in Portugal halted due to political crisis and fall of Prime Minister Luis Montenegro, delaying privatization possibly by 6-12 months post-May elections. IAG, Lufthansa, and Air France-KLM compete for acquisition, adhering to Portugal's terms of maintaining Lisbon hub and strategic routes. Privatization managed by Parpública, advised by Bank of America and Morais Leitão. TAP carried 16.1 million passengers in 2024, a 1.6% increase, and improved revenue per seat by 3.4%.

✈️ Air France offers €300 million for a 51% stake in Air Europa, valuing the airline at €588 million, plus €475 million in state rescue funds, totaling €1.073 billion. This reduces the Hidalgo family, current 80% owners, to 29% control, while IAG retains 20%. In contrast, Lufthansa proposes injecting €240 million for a 25% stake, which Air Europa could use to repay part of its SEPI loan, reducing its public rescue debt to €235 million.

✈ Jet2, facing delays from Airbus in their fleet renewal from Boeing to A321s, is seeking rental planes. Airbus was to deliver 14 new A321s by this summer, contributing to a total of 23 units. However, some deliveries will be late, prompting Jet2 to consider wet lease options from companies like Albastar, Titan, Air Explore, or ETF. Jet2's total Airbus A321 order is 134 aircraft, while their current fleet includes 93 operational B737s, with B757s now retired.

✈ Air France, with CEOs Emmanuel Macron and Ben Smith recently showing interest in the Portuguese airline TAP, claims to have the best offer due to strong government ties, amidst a potential crisis in Lisbon with elections due in May. France holds 27.9% and the Netherlands 9.13% of Air France KLM's shares, making them unique among Europe's big three airline groups for successfully working with two governments. Smith cites a 20-year experience with governments as a strategic advantage for Portugal's consideration.

✈ In 2020, COVID-19 impacted airlines, with expensive aircraft parking and route cancellations in 2021. From 2022, Lufthansa and Air France faced fuel costs, rehiring staff, closed Chinese markets, and difficulty restarting operations. In 2023, too many aircraft were decommissioned, with costly reactivations and unmet Boeing and Airbus orders amid global conflicts, plus Amsterdam's airport issues and soaring costs. 2024 proved worse for Air France due to Olympic disruptions, while Lufthansa struggled with strikes, an aging fleet, and first-class upgrade delays.

🏩 IAG outperformed European competitors Air France-KLM and Lufthansa in 2024, multiplying profits by eight times Air France-KLM's and doubling Lufthansa's. Air France-KLM's net profit was €317 million (down 66% from 2023's €934 million), with revenue up 5% from €30.019 billion to €31.459 billion. Lufthansa's net profit decreased by 18% to €1.380 billion despite record revenues rising from €35.400 billion to €37.580 billion. IAG, parent of Iberia and Vueling, reported a 2.9% net profit increase to €2.732 billion and a 9% revenue increase to €32.100 billion in 2024.

✈ Air Europa increases flights to American destinations for summer: from mid-June to September, daily flights to 5 in-demand locations. Frequencies from Madrid to Medellín, Asunción, Havana, Panama, and New York up to 7 times weekly. Flights to Bogotá, Buenos Aires, Sao Paulo, Lima, Miami, Santo Domingo already daily. Cancún and Punta Cana will have 5 weekly flights; Córdoba and Salvador de Bahía increase to 4. Ecuador routes to Quito and Guayaquil will permanently have 3 weekly flights starting summer. Air Europa to offer 3.5 million long-haul seats, aiming for 3.3 million passengers with an average 84% occupancy. In 2025, 3 new Boeing 787 Dreamliners will join its fleet of 26.

🏠 Bonmont Hotel & Spa in Mont-roig del Camp, Tarragona, sold at auction for €6.7 million by a Grupo Costa company, which acquired the associated golf course in August 2024. Initial auction for the hotel started at €10 million but failed to attract buyers. The property, intended to open as Westin Bonmont Golf & Spa Resort in April 2019, remains closed. It sits on a 17,720 square meter plot with 136 rooms and nearly 1,000 meters dedicated to spa and fitness.

✈ Ryanair, Europe's most controversial low-cost carrier, witnessed a 14% growth in travelers, from 11.1 million in February last year to 12.6 million this year. If maintained annually, this growth could lead to 199 million passengers. Despite being last in quality and preference rankings and facing harsh public criticism, consumer behavior indicates a continued preference for what is convenient, contributing to Ryanair's significant passenger increase.

🏩 Ávoris, owned by Barceló, will surpass 3,000 sales points after acquiring Dit Gestión in early April 2023. Dit Gestión, with approximately 800 agencies, will join Ávoris but maintain independence. The acquisition, previously having CNMC approval, will add to Ávoris's existing ~2,300 points of sale from brands like Halcón Viajes and B travel. Ávoris's associated division, led by Endika Ormaeche since spring 2023, will include Dit Gestión, still under Jon and Lander Arriaga's leadership.