Italy's ITA Airways to wet-lease B777s from AlisCargo

Air France-KLM launches €2.26bn share issue

Air France-KLM has launched a capital increase to bolster its finances and repay more of the state aid it received during the pandemic, saying that now is the right time to seek shareholder support amid an invigorated air travel market, it said in a statement and prospectus released on May 24.

The rights issue for existing shareholders targets a gross amount of EUR2,255,645,459 euros (USD2.41 billion), with 1,927,902,102 new shares to be subscribed in cash, “by payment in cash or by offsetting receivables”, at a unit price of EUR1.17 (USD1.25) on the basis of three new shares for one existing share. It will run from May 27 to June 9, inclusive.

The issue is the Air France and KLM Royal Dutch Airlines parent's second in just over a year and was widely expected. It takes it closer to repaying Covid-era government support and meeting European Union conditions for taking part in future mergers and acquisitions - such as the imminent privatisation of ITA Airways (AZ, Rome Fiumicino).

“The company...

Two options on the table for Italy’s ITA Airways

The deadline for submitting binding offers for Alitalia heir ITA Airways (AZ, Rome Fiumicino) expired at midnight on Monday, May 23. However, as part of the bid widely seen as having the best chance, Lufthansa (LH, Frankfurt Int'l) has reportedly halved its interest to a 20% stake.

According to local media, insiders confirmed reports that emerged earlier this month, that two offers for ITA are on the table at Italy’s Ministry of Economy and Finance: a consortium made up of Lufthansa and shipping giant MSC, and US-based investment fund Certares, which is reportedly working with Air France-KLM and Delta Air Lines (DL, Atlanta Hartsfield Jackson).

A third interested party, low-cost-carrier investor Indigo Partners, another US fund, appears to have withdrawn, the reason reportedly being that European Union legislation requires that the majority shareholder of a European airline be based in Europe and Indigo had not managed to find a suitable partner.

In the privatisation process, it is expected that the government will retain a minority stake of...

ITA Airways adds first A350-900

ITA Airways (AZ, Rome Fiumicino) took delivery of its first A350-900 on May 12, 2022. It is the first of four units of the type due from ALAFCO.

EI-IFA (msn 308) was built in 2019 but was not taken up by any operator. Following a period of storage at Shannon, it was ferried to Rome Fiumicino on May 12 and has since then been operating proving flights around the Italian capital, Flightradar24 ADS-B data shows. It is outfitted with 334 passenger seats, comprising 33 lie-flat business class seats and 301 economy class seats. The aircraft will enter service on June 1, 2022, on ITA's new long-haul routes from Fiumicino to Buenos Aires Ezeiza and Los Angeles Int'l. It will also be deployed to New York JFK, complementing the current A330-200, the ch-aviation schedules module shows.

The aircraft is leased for 12 years.

ITA Airways' widebody fleet currently comprises eight A330-200s. Besides the three other A350-900s from ALAFCO, the carrier also plans to add another...

Alitalia oldco hawks aircraft, engines, could rake in €30mn