Photo Credit: BriYYZ
Lufthansa is preparing to offer 500-million-euro ($590 million) to add Alitalia assets to its company,Italian daily Corriere della reported on Monday, 16 October 2017. Lufthansa focuses on outbidding other bidders most likely,Ryanair and Easyjet.
Last week Lufthansa was able to get a great deal when it purchased 81 Air Berlin planes for 200 million euros. Now this week Lufthansa is targeting Alitalia which fell into bankruptcy last May after its main stakeholder, Etihad airlines withdraw its financial support.
Bidders have until Monday 6 p.m local time to place offers. However it is not going to be a bargain bid for bidders, because Italian Government has guaranteed 300 million euros to Alitalia to stay in the current position until next April 2018.
This 300 million Euro will help Alitalia to be in a strong position in finalising the offers. Also the timely funding by the Italian Government will force the bidders to make decent offers.