Polish carrier LOT Polish Airlines is in talks to acquire the largest Czech airline Smartwings, according to Czech media outlet Hospod??sk? noviny.
Smartwings, known for its scheduled and charter routes, is a major player in the tourist flight market in Central Europe. Three contenders remain in the race to acquire it: LOT Polish Airlines (Poland), Eurowings (Germany) and SunExpress (Turkey).
Smartwings’ 75-year-old billionaire owner, Ji?? ?im?n?, is reportedly considering selling either part or all of the company, at a time when the aviation industry continues to recover from the pandemic. He had previously bought out 49.9% of the shares held by Chinese investors, a move that had facilitated plans for a future sale.
However, analysts believe that ?im?n? does not intend to completely withdraw from aviation. “?im?n? has repeatedly made it clear that he sees aviation as a long-term investment and wants to remain active,” Hospod??sk? noviny reports.
A potential acquisition by LOT would be the first major expansion move since the failed takeover of Germany’s Condor Airlines in 2020, a deal that was ultimately cancelled due to the COVID-19 pandemic.
LOT Polish Airlines, whose main shareholder is the Polish state through the Ministry of Finance and a minority shareholder is Polska Grupa Lotnicza, appears to be aiming to strengthen its presence in Central Europe.
If the deal goes ahead, it could be a key step for LOT in consolidating its strength in leisure and short-haul flights, where Smartwings already has a strong network and extensive experience.
