Flybe in talks with Ryanair to acquire possible Aer Lingus routes

LOW cost airline Flybe has confirmed it is in talks with rival operator Ryanair to take over a number of its routes.

In a statement responding to press speculation, Flybe said it had reached an agreement in principle with Ryanair about the possible transfer of a number of aircraft and operating routes as part of a package of concessions Ryanair has submitted to the European Commission as part of its bid to takeover Aer Lingus.

“The agreement provides for a new company to be incorporated into which the relevant business assets (including cash of €100m (£87m)) and liabilities would be transferred and which Flybe would then acquire,” it said.

The agreement has not been approved by the board of Flybe and it would also be subject to Flybe shareholder approval.

The implementation of any agreement would be dependent, inter alia, on the status of Ryanair’s offer for Aer Lingus; the outcome of the Commission’s deliberations on the competition aspects of Ryanair’s bid; and the agreement of a timetable for completion of the deal.

The proposals could see Flybe take on more than 40 of the existing Aer Lingus short haul routes.