Shares in Irish airline Aer Lingus have jumped nearly 18 percent after Ryanair issued a renewed all-cash bid for the former state carrier. Shares in Aer Lingus rise to 1.32 euros in London, below the 1.4 euro offered by Ryanair, whose shares are up 0.7 percent.
Meanwhile Aer Lingus has described Ryanair’s latest bid to buy Aer Lingus as “mischief making”.
Ryanair has said it was proposing a “merger of the two airlines into one strong Irish airline group under common ownership”. Aer Lingus would retain its brand name under the offer.
Aer Lingus said it noted the offer and “strongly urged” shareholders to take no action.
Ryanair Chief Executive Michael O’Leary has said he is seeking urgent meetings with the Irish government, which still owns 25 percent of Aer Lingus shares. Ryanair’s previous bid for Aer Lingus was blocked by the Irish government, Aer Lingus employees who hold more than 25 percent of shares, and European Union competition authorities.