Lot Polish Airlines has pulled out of a move to acquire German airline Condor, months after its state-owned parent – Polish Aviation Group (PGL) – agreed a €300 million deal for the former Thomas Cook carrier.
Back in January, PGL was announced as "strategic investor" for Condor – which was rescued by a €380 million German government bridging loan following Cook’s collapse – and promised "the future of Germany’s most popular leisure airline was fully secured".
However, a PGL spokesperson formally confirmed on Monday (13 April) it had withdrawn its interest, with Condor later confirming the deal was off.
A Condor spokesperson said the business was examining various options for future ownership of the former Cook carrier, and confirmed the airline was in further discussions with the German government over state aid to mitigate the effects of the coronavirus crisis.
PGL had pledged to repay the €380 million bridging loan as part of the deal, which the Financial Times reports is due on Friday (17 April).
Upon agreeing the €300 million deal for Condor, PGL said its acquisition would have created a major European aviation group carrying in the region of 20 million passengers a year.
It added the deal had been due to be closed by April 2020 upon receipt of any necessary competition approvals.