Following the announcement that Lufthansa was divesting its 13% shareholding in Luxair, the Luxembourg state will buy back the shares which the German airline has held for over 20 years.
A press conference on Tuesday afternoon saw Luxembourg's Minister for Sustainable Development and Infrastructure, Francois Bausch, make the announcement, but stressed that the arrangement was temporary until a new partner can be confirmed, ideally a private investor.
This brings the Luxembourg's state shareholding up to 52.05% (39.05% plus 13%) which is too much accordign to European law, therefore the necessity to identify another investor. Negotiations with potential investors have already commenced, with the Minister hopefuly of being able to conclude an agreement before the end of this year.
Details of the financial agreement for the 13% shareholding were not disclosed.
