IAG to Acquire Austrian Airline Niki for €20 Million

By Paul Riegler on 30 December 2017
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DSC_0702 (1)British Airways parent International Airline Group said late Friday it plans to acquire Austrian carrier Niki for €20 million ($24 million) and provide as much as €16.5 million in liquidity.

The purchase will be made by a newly formed Austrian subsidiary of IAG’s Spanish low-cost carrier, Vueling, and the reconstituted Niki will operate separately from Vueling, at least at the beginning. IAG plans to rehire approximately 740 former Niki employees as part of the deal.

IAG will get as many as 15 Airbus A320-family aircraft and slots at several major European airports including Düsseldorf, Munich, and Vienna.

“This deal will enable Vueling to increase its presence in Austria, Germany and Switzerland,” said IAG CEO Willie Walsh.

The transaction, for which no closing date was provided, is subject to regulatory approval by the European Commission, the European Union’s anti-trust monitor.

The airline was founded by former Formula One champion Niki Lauda in 2003, and was sold to Air Berlin in 2011.

Niki ceased all operations on December 14, 2017. At one point, the low-cost carrier operated the world’s shortest international flight, Vienna, Austria to Bratislava, Slovakia.

(Photo: Accura Media Group)

Accura News

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