Etihad becomes biggest shareholder in airberlin.
UAE flag carrier Etihad Airways has just announced it will increase its stake in German carrier and oneworld member-elect airberlin to 29%, making it the airline’s biggest single shareholder.
The move also includes a significant strategic alliance which will connect each carrier’s networks and frequent flyer programs to offer travellers 239 destinations across 77 countries.
Airberlin ceo Hartmut Mehdorn also announced new flights between Berlin and Abu Dhabi, “which will become our new gateway to Asia and Australia.
“The agreement with Etihad Airways will also dramatically improve the global connectivity of our customers in Germany, Switzerland, Austria and throughout the GCC and Middle East,” he said.
Etihad ceo James Hogan said the pact was one of the most important in Etihad Airways’ history.
“This new partnership expands our network reach, gives us access to 33 million new passengers and provides us with a real opportunity for global growth. Through airberlin, we gain immediate access to a broad and complementary European market, with outstanding connectivity options for customers of both airlines,” he said.
The deal will see airberlin shift its Middle East operation from Dubai to Abu Dhabi along with the implementation of an extensive codeshare agreement, while Etihad will have two seats on the Air Berlin PLC board.
Both companies will seek anti-trust immunity to allow them to further coordinate route networks and sales and marketing activities, and Etihad will provide the German airline with five year financing facilities of up to US$255 million “to support fleet development and future network growth”.
More information in tomorrow’s Travel Daily.