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European airline giant buys Spanish carrier Air Europa
MADRID (AP) — The parent company of British Airways and Iberia has agreed to buy Spanish rival Air Europa for 1 billion euros ($1.1 billion).
In a statement released Monday, the International Airlines Group, or IAG, says the purchase will be completed by the end of 2020 if competition regulators approve it.
IAG expects the purchase to turn its Madrid base into "a true rival" to Europe's main air travel hubs in Amsterdam, Frankfurt, London and Paris.
The statement says that by taking control of Air Europa the group also expects to lead flights between Europe and Latin America and the Caribbean.
Air Europa operates 66 aircraft to 69 destinations in and outside of Spain. As one of the world's largest airline groups, IAG flies to 268 destinations with 573 airplanes.