The EU Gives IAG More Time For Air Europa Purchase Process

The EU Gives IAG More Time For Air Europa Purchase Process

The European Commission has extended the deadline for its investigation into the acquisition of Air Europa by IAG. Previously the deadline to decide was November 5th, but this has been extended to December 3rd. IAG requested the extension. Last month the European Commission announced it was opening a full, in-depth investigation into IAG’s Air Europe merger. The commission has the right to block the deal and prevent it from going ahead of it believes it will reduce competition in Spain. If a deal results in a monopoly that could dictate market prices and overpower other airlines, the deal will be scrapped. Under the original investigation, both Air Europa and IAG could submit data to prove the deal is legit. Then, the commission would have 90 days until November 5th to make a decision. However, this deadline has been extended until December 3rd. According to a short statement from IAG regarding the extension, “We have asked for the extension in order to provide more evidence and support the process. It’s procedural.” This is not the first time the Commission extended a …
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