Aer Lingus (EI, Dublin International) CEO Christoph Mueller says his airline is hopeful that rival Ryanair (FR, Dublin International) will begin its divestiture from the Irish carrier over the course of next year.
“We appreciate the fact that Ryanair has to sell down its share to 5 per cent because it is our main competitor,” Mueller told Abu Dhabi's National newspaper. “We all really hope that the issue of Ryanair would be done in the course of 2015. But when exactly in 2015, it is very difficult to say.”
In March, the UK Competition Commission (CC) concluded that Ryanair's minority shareholding in Aer Lingus (29.82%) "gave it material influence over Aer Lingus and resulted in a substantial lessening of competition." As a result, the CC ordered Ryanair to divest itself of the majority of its holding to no more than 5% but did not give a deadline.
Ryanair had previously tried to take over the company but to no avail.
Concerning the carrier's stock exchange presence, Mueller said he wanted to see a greater amount of Aer Lingus shares traded as at present, only 35% is listed on the Dublin and London Stock Exchanges. The CEO noted that there was "a lot of demand" for the airline's shares, particularly from US investors.
While there is mounting speculation that Etihad Airways (EY, Abu Dhabi International) will increase its stake in the carrier from its current level of 4.99%, Mueller said the Irish carrier's next phase of cooperation with the Emiratis would focus on creating synergies between the two airlines with particular focus on "the cost side and joint purchasing.”
