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BA Withdraws Iberia BidDecember 3, 2007 By: Travel Agent Central Contributor Travel Agent
Spain may be hot, but British Airways appears to have backed off efforts to acquire Spanish carrier Iberia. Texas-based investment firm TPG was also involved in the acquisition talks.
In a letter to Iberia’s board, British Airways explained that recent moves by Iberia’s core shareholders negated the “consensus and friendly terms that we considered essential for this project.” Allegedly prompting the pullout was the decision by savings bank Caja Madrid, an Iberia shareholder, to purchase Iberia holdings from two other banks, upping its Iberia shares to 24 percent, Bloomberg News reported.