Ryanair takes over complete control of Laudamotion

posted on 29th January 2019 by Justin Burns
Ryanair takes over complete control of Laudamotion

Ryanair has today taken total control of Laudamotion after buying the remaining 25 per cent of the shares of the Austrian low-cost carrier (LCC).

As part of the takeover, the Irish LCC said it will increase Laudamotion’s fleet to 25 aircraft in summer 2019 (from 19 in S2018). Ryanair initially purchased 24.99 per cent before taking a 75 per cent stake in August last year.

Lauda has signed LOI agreements with a number of lessors which will increase its summer 2020 fleet to 30 – all Airbus – aircraft, which will allow Lauda to grow its traffic from four million passengers in year one to six million in year two (FY March 2020) to 7.5 million in FY March 2021.

This summer, Laudamotion will operate four bases as it grows in Vienna from four to eight aircraft, Dusseldorf seven aircraft, Stuttgart three aircraft, and Palma two aircraft.

In winter 2019, the Vienna base will increase further to 11 aircraft, making Laudamotion Vienna’s No.2 airline, just behind Austrian Airlines.

Laudamotion is releasing the first part of its winter 2019 flight schedules today, offering passengers lower fares and more frequencies, from Vienna in particular. Details of up to 20 new routes from Vienna, Stuttgart, Dusseldorf, and Palma, will be announced in the next month or two once airport and handling negotiations have been successfully completed.

Up to 400 new jobs for pilots, cabin crew, and engineers will be created across its four bases. It also unveiled details of its new head office (at Concorde Business Park), which it will move into in March 2019.

Speaking in Vienna today, Laudamotion’s chief executive officer (CEO), Andreas Gruber, said: “With the backing of Ryanair, Laudamotion is set to grow strongly over the next 3 years to carry 10m passengers p.a. We will release details of up to 20 new routes for winter 2019 once we have completed our airport and handling negotiations by the end of March.

“Our summer ’19 program will allow us to carry 6m passengers in year 2, a growth rate of 50% over the 4m carried in year 1, as we continue to offer our customers in Vienna, Stuttgart, Dusseldorf and Palma the lowest air fares on a fleet of young Airbus aircraft with widespread passenger appeal and great Lauda service.”

Laudamotion’s deputy CEO, Colin Casey said: “We are currently negotiating new routes and handling agreements with more than 50 new airports, all of whom want to share in Laudamotion’s exciting growth plans for the coming years.

“As other airlines falter, close bases or put themselves up for sale (as in the case of Germania recently), we are inundated with applications from pilots and cabin crew who wish to join Austria’s No.1 low fares airline as we embark on exciting growth plans, not just in Austria and Germany, but in other new countries as well.

“In winter 2019 we hope to announce at least one new base, which will be outside of Austria and Germany, and there are a number of new airports both in Central & Western Europe who are pitching to win this business.

“At a time when Austrian Airlines are carrying 13.9m passengers, we have exciting plans to grow to 10m passengers within next 3 years and become Austria’s No. 2.”