Airline hopes to avoid lengthy takeover battle for rival
Ryanair has announced plans to meet with the Irish Minister for Transport, Noel Dempsey, to discuss further its Aer Lingus offer.
The Irish carrier said it would highlight the €748m in "substantial cash proceeds" for shareholders and the 1,000 new jobs created following a successful takeover.
According to Ryanair, the European Commission will either approve the merger or initiate a lengthy "phase II" process within the next 25 working days.
But Ryanair said it would not engage in a "protracted and time-consuming process" unless it receives more support from Aer Lingus shareholders.
Such support, it said, would come in the form of an offer of acceptance from the Irish government, a 25% stakeholder, or the Employee Share Ownership Trust (ESOT) which holds 14%.
Michael O'Leary, Ryanair's ceo, said: "The benefits of this merger are compelling for all Aer Lingus shareholders.
"However, we don't intend to waste our time or that of the Irish government or EU Commission over the next six months if Aer Lingus shareholders do not want the only merger offer currently available."
Ryanair has met with representatives of the ESOT, the board of Aer Lingus and other shareholders, but so far has only increased its 29.82% stake by 0.01%.
Ryanair first appealed to the Irish government at the beginning of December with guarantees later ruled out by takeover regulators.
But neither the Irish government nor ESOT have yet ruled out accepting the offer.
Ryanair hopes to clarify the government's position before the offer closing date, extended from January 5 to February 13.
Analysts at Merrion Capital this week said they believed Ryanair would increase its €1.40 per share offer, but the January 30 cut-off for amendments is fast approaching.
Merrion said an offer of €2.07-2.67 per share was "more realistic." Aer Lingus shares have traded at around €1.60 since Ryanair first announced its takeover bid.
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