International Airlines Group has agreed to purchase the Irish government held stake of flag-carrier Aer Lingus for approximately €1.4 billion.
Existing Aer Lingus shareholders will receive €2.55 in cash for each Share, comprising a cash payment of €2.50 per share and a cash dividend of €0.05 per share.
The terms of the transaction represent a premium of approximately 40 per cent on the closing price of €1.82 per Aer Lingus Share on December 17th 2014, the last dealing day prior to the first IAG offer.
Commenting on the deal, Willie Walsh, chief executive of IAG said: “Aer Lingus, Ireland and IAG would all benefit from this deal.