Qatar snaps up 10% holding in owner of BA

Qatar said it may consider raising its stake further. Picture: AP
Qatar said it may consider raising its stake further. Picture: AP
Share this article
0
Have your say

Qatar Airways and the owner of British Airways have vowed to strengthen ties after the Gulf carrier snapped up a near-10 per cent stake in its European counterpart.

They have a close relationship as part of the Oneworld alliance and Willie Walsh, the boss of International Airlines Group (IAG), said he was delighted that Qatar had become a “long-term supportive shareholder”.

Qatar said it may consider raising its stake further, although it will be limited by an overall cap on non-EU ownership of European airlines at 49 per cent.

Walsh said: “We will talk to them about what opportunities exist to work more closely together and further IAG’s ambitions as the leading global airline group.”

IAG was formed from the merger of British Airways and Iberia in 2011. It has around 430 aircraft and employs more than 60,000 people.

A restructuring programme at the previously loss-making Iberia has seen 2,500 staff leave the airline under a voluntary redundancy programme.

CONNECT WITH THE SCOTSMAN

Subscribe to our daily newsletter (requires registration) and get the latest news, sport and business headlines delivered to your inbox every morning

• You can also follow us on Facebook, Twitter and Google +