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Will Ryanair Be Permitted to Buy Aer Lingus?

Probably not.  The Irish carrier said that they expect the European Commission to reject its proposal to purchase Aer Lingus over competition concerns.  Michael O’Leary, the outspoken CEO of Ryanair, said that the rejection is unlawful, considering the Commission has greenlighted the Air France/KLM and Lufthansa/SWISS mergers, combinations which have far more impact.  This won’t be the last we hear from O’Leary on this matter.  Meanwhile, Aer Lingus, which didn’t want to be purchased in the first place, is gloating.

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  1. I’m no fan of Ryanair, but such a ruling would make little competitive sense. What would the EU be afraid of: that Ryanair would raise fares in Dublin? In this particular case, that seems preposterous. On the other hand, all Europeans would benefit from a well capitalized transatlantic carrier. Heck, I’d look forward to 1 Euro fares across the Atlantic!

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