Aer Lingus has rejected a takeover offer from British Airways parent company IAG.
In a statement IAG said it had submitted a proposal to the Irish company, but this was rejected by the board of Aer Lingus.
Earlier today shares in Aer Lingus jumped 14 per cent after a report in the Financial Times said IAG was considering a bid.
One of the main attractions of the deal for IAG is Aer Lingus’ valuable take-off and landing slots at British Airways’ main base at Heathrow. The Irish carrier is the third largest airline at the airport.
A deal would require the approval of Ryanair, which owns a 29.8 per cent stake in Aer Lingus, the Irish government, which has a 25 per cent stake, and the European Commission.
IAG said there was no certainty that a further proposal or offer will be forthcoming.