Deutsche Lufthansa AG is on track to complete its takeover of ITA Airways after ironing out differences with the Italian government over the purchase of the unprofitable carrier.

In May 2023, the two airlines agreed that Lufthansa would pay $356m for a 41% stake in Alitalia. While this was approved by the Italian government, who was eager to offload an asset that has become a drain on limited resources for years, the deal still had to be approved by the EU Commission for Competition.

Germany's Lufthansa Group said it had submitted a package of remedies to the European Commission needed to secure EU antitrust approval to take a minority stake in Italy's ITA Airways, bringing it a step closer to closing the deal.

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Italy's Treasury said late on Monday it sent to the European Commission the package of remedies needed to secure EU antitrust approval for the tie-up between ITA Airways and Germany's Lufthansa. The German carrier is looking to acquire a 41% stake in state-owned ITA but the deal was put on hold last week due to a dispute between the Treasury and Lufthansa over the agreed price.

The Italian Ministry of Economy and Finance has revealed that it has reached a deal with Germany's Lufthansa Group for a 49% stake in ITA Airways. View on euronews