An in-depth investigation has been opened into the planned acquisition of Air Europa by International Airlines Group (IAG) over worries that the deal may stifle competition on Spanish domestic and international routes.

The European Union (EU) is concerned that the transaction could “significantly reduce competition” on many city pairs on which both airlines offer direct services.

The EU is also concerned at the feed at Madrid looking into the effect on routes where other airlines rely on Air Europa's domestic and short-haul network for their own operations at Madrid, as well as “a number of other” EU airports.

“Without Air Europa's feeder traffic, some airlines may decide to terminate their services to international destinations also served by IAG, reducing choice for travellers,” a statement said.

The Air Europa deal was made when Willie Walsh was still Chief Executive of IAG.

See BTN 10 August 2020 Air Europa price?

See BTN 1 February Air Europa Sold.

www.aireuropa.com