Etihad Airways and Alitalia announced yesterday that the two companies have signed an massive agreement worth EUR 1.758 million, under which Etihad will buy a 45% stake in the struggling Italian airline.
Pursuant to the deal, Alitalia can renew and restructure the Company as well as boost its competitiveness to reach sustainable profitability.
“This is a three-year rebuilding exercise,” said James Hogan, Etihad Airways’ CEO, after the Abu Dhabi airline agreed to invest EUR 560 million (AED 2.75 billion) in Alitalia.
The deal includes, new aircraft and new routes to Abu Dhabi as well as new livery, The National reported, adding that Etihad is keen to tap demand for travel from the more than 10,000 Italian citizens and around 300 UAE-based Italian companies.
It is worth noting that Alitalia will refocus on long-haul flights; the number of wide-body jets in its fleet will be increased by 32%, while the number of narrow-body aircraft will be cut by 13%.
Pursuant to the deal, Alitalia can renew and restructure the Company as well as boost its competitiveness to reach sustainable profitability.
“This is a three-year rebuilding exercise,” said James Hogan, Etihad Airways’ CEO, after the Abu Dhabi airline agreed to invest EUR 560 million (AED 2.75 billion) in Alitalia.
The deal includes, new aircraft and new routes to Abu Dhabi as well as new livery, The National reported, adding that Etihad is keen to tap demand for travel from the more than 10,000 Italian citizens and around 300 UAE-based Italian companies.
It is worth noting that Alitalia will refocus on long-haul flights; the number of wide-body jets in its fleet will be increased by 32%, while the number of narrow-body aircraft will be cut by 13%.
Source:
Mubasher
