Lufthansa Mulls Purchase of Austrian Air, FT Deutschland Says
By Jeremy van Loon
May 6 (Bloomberg) -- Deutsche Lufthansa AG is considering purchasing a stake in Austrian Airlines Group, Financial Times Deutschland reported, citing unidentified officials at the German airline.
Lufthansa is ``closely observing'' what is happening at the smaller, unprofitable Austrian carrier and is waiting for a ``signal'' from the Austrian government, the largest shareholder, the newspaper said. The German company is interested in a ``friendly holding,'' the newspaper added.
Austrian Airlines said on May 5 said it's in talks with Saudi investor Mohamed bin Issa al Jaber after he threatened to cancel his plan to acquire a 20 percent stake. Chief Executive Alfred Oetsch has come under pressure after the airline lost 60.2 million euros ($93.4 million) in the first quarter, the newspaper said.