The Italian government has cleared the way for a sale of its new airline, ITA Airways, which replaced Alitalia a few months ago. The Finance Minister, Daniele Franco, said that the government will retain a minority stake if the airline is sold; it now holds all the shares
Last month, a joint venture of Lufthansa and shipping company MSC indicated an interest and asked for a 90-day period of exclusivity to try to negotiate a deal, but the government has decided instead to open bidding to all qualified interests.
The minority share the government intends to retain “could be sold at a later stage,” the finance minister added. If the line is successful for its new buyer, selling the shares could recoup some of the government’s investment.
Italy has committed €1.35 billion to the startup project, with €800 million already spent to get the airline going. As a startup, it is already losing money, estimated at about €135 per passenger by a university economist who believes that “ITA Airways will not be able to survive on its own, without the support of a major European airline.” It appears the government agrees.
Among ITA’s assets, by the way, are the old Alitalia name, trademarks and livery, so a buyer could add another chapter to Alitalia’s history.
