The new offers have arrived. Now Italy’s Prime Minister Mario Draghi has to decide between Lufthansa/MSC and Certares. The Americans are trying to score points with the government in a very specific way.
Lufthansa and MSC were already on the home stretch when Certares just turned into the stadium. And so in Frankfurt the race for ITA Airways was pretty sure of victory. In the meantime, however, the American financial company has made a spurt and caught up strongly.
By Monday evening (22 August) at 11:59 p.m., Certares and Lufthansa/MSC isubmitted their final, slightly improved offers. In the coming days, Italy’s Prime Minister Mario Draghi would have to decide which of the two would get ITA Airways. If he changes his mind and leaves the dossier to his successor. Anything is possible in Italy in the chaotic days leading up to the new elections.
Certares leaves more shares to the state…
Both interested parties rate ITA Airways similarly. Lufthansa and MSC offer around 850 million euros for 80 percent, Certares 600 million for almost 60 percent. However, the offers differ fundamentally in their design. While the German airline and the shipping giant want to closely manage the Italian national airline, the American financial company allows the state a lot of say.
And that’s exactly where Certares hopes to score. All the more so as the next government in Rome is likely to be nationally minded. The Americans even want to leave the Italian state more than 42 percent of the shares and only take over 58 percent themselves, as the newspaper says The Republic writes.
… and more participation
In addition, Certares Italy would have the right to elect the future president and two out of five seats on the board of directors, as the paper continues. The financial company is also trying to allay fears that the government might not be able to sell its minority stake later. It itself would take it either directly or through its allies Delta and Air France-KLM.
At the same time, the Americans bring their other holdings into play. They own American Express Global Business Travel, the luxury travel agencies Internova, Tripadvisor and the car rental company Hertz. In this way, you can help fill ITA Airways’ aircraft with wealthy customers and better develop the North American market. In addition, according to Repubblica, they emphasize that Air France has a close partnership with the shipping giant CMA-CGN Has. Air and sea freight can therefore be linked, which benefits the Milan-Malpensa freight hub.
And in the end it might turn out quite differently
But the opponents also have strong arguments. Lufthansa is very experienced with the integration of foreign airlines, MSC and the owner family Aponte are iconic in Italy. They also generate more revenue for the treasury because they want a higher share.
But even if Draghi decides before the elections; in a first step there will only be a declaration of intent. It is not binding for the new government. She might decide otherwise or call off the sale altogether. Signor Spohr, purtroppo dovrà aspettare ancora un po’.
