The shareholders of Italia Trasporto Aereo (ITA) met this week to approve a €700 million ($830 million) capital increase. This move is a crucial step in the formation of Italy’s new flag carrier as it prepares to hit the skies on October 15th.
Plans in motion
This funding follows the board of directors’ July 15th approval of the airline’s 2021-2025 business plan, along with the completion of the ongoing approval by the European Commission. There have been several talks between the European Union and Italian authorities over the last few months amid the launch of the new national carrier. Importantly, the Commission recently shared that Italy has reassured it that Alitalia’s passengers’ rights will be protected.
Numerous twists in the Alitalia saga have occurred. For instance, airlines such as Ryanair raised their frustrations about previous funding into the outfit. Nonetheless, following all the drama, it appears that Italy is now on the right track for the successor to the veteran operator to get going.
On its way
ITA’s officials have been seeking €700 million to purchase assets from the old firm to start operating. The airline’s chairman, Alfredo Altavilla, has now spoken about the importance of this funding. Undoubtedly, the money will prove valuable ahead of the airline’s launch this fall.
“Today is another important milestone in the process that will see the start of operations of the new airline on October 15th. With the just approved capital increase, the public shareholder confirms the solidity of the project from a private investor’s point of view,” Altavilla shared in a July 28th statement.
“The following step will be the immediate beginning of negotiations with Alitalia under Extraordinary Administration for the acquisition of the “Aviation” sector, pending the tender for the sale of the Alitalia brand that we hope will take place as soon as possible.”
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All eyes on October
Altogether, those behind the launch have high hopes for the new airline. It is set to have a fleet of 75 planes that will focus on cargo and long-haul operations. Additionally, after services get fully underway, there could be up to 147 aircraft across the carrier’s facilities.
So, with this crucial funding on its way, the airline can look forward to organizing its resources and ensuring that it has the right structure ahead of the big day. There were hopes of hitting the air this summer, but management won’t feel too hard done by as long as the launch of flights this October goes smoothly.
What are your thoughts about the approval of ITA’s funding ahead of its launch on October 15th? What do you make of the prospects of the carrier as it prepares to get going in the coming months? Let us know what you think of the overall situation in the comment section.