LOT Polish Airlines buys Condor for 300 million EUR
The debut of 2020 comes with great news for the German airline Condor, the subsidiary rescued after the bankruptcy of Thomas Cook UK. LOT Polish Airlines buys Condor for 300 million EUR. The announcement of the transaction was made on January 24, 2020.
The result? A new airlines group is emerging in Europe, which can carry over 20 million passengers annually. The focus will be on the core market in Germany and Poland.
LOT owns a fleet of approximately 80 aircrafts, while Condor operates a fleet of 50 aircrafts. LOT General Manager Rafal Milczarski said that an order of about 30 new aircrafts from Boeing and Airbus will be made.
When Thomas Cook went bankrupt, the Condor subsidiary received a support from the German government a loan of 380 million EUR (aprox. $422 million USD), allowing it to be saved.
In a joint statement, Condor and Lot Polish Airlines officials said they would repay the loan offered by Germany. The takeover is expected to be completed by the end of April 2020, but only under government approval.
After the completion of the transaction, Condor, which competes with Lufthansa and TUI fly, will continue to operate under its current management and will retain its brand.