Aer Lingus to hold EGM over IAG takeover

Aer Lingus is expected to hold an extraordinary general meeting (EGM) before the end of the month to discuss its proposed €1.4bn takeover by aviation giant IAG.

The news emerged yesterday as the airline reported a 2% increase in traffic for June. Total traffic for the month, including Aer Lingus Regional flights, was up to 1,148,000 passengers compared to 1,125,000 passengers in June 2014.

Its mainline traffic increased 3.5% to 1,030,000 passengers, and its transatlantic grew again — up 15.6% to 163,000 for the month. Short haul passenger numbers were up 1.5% to 867,000 from 854,000 in June 2014.

The overall passenger load factor for June was up 0.3 percentage points to 85.8%. The short haul load factor increased by 0.1 percentage points to 80.4%, while the long haul load factor was down 0.3 percentage points to 92.8% for the month.

Speaking at an Aer Lingus route announcement at Cork Airport, Transport Minister Paschal Donohoe said he expected the airline’s proposed sale to IAG would create a platform and certainty for further growth and expansion. The minister said he expects the company to hold an EGM within the next two weeks to discuss the proposed takeover.

“In the run up to that meeting, shareholders will have to decide and declare what action they will take in relation to the proposed disposal of their shares,” he said. “The government view is clear. We believe the best opportunity for Aer Lingus to grow is as part of the IAG group.”