German local outlet Boersenzeitung reported that there are possible plans for the formation of a joint venture between German leisure airline Condor and TUIfly Deutschland. After the cessation of Thomas Cook’s operations last year, Condor, 1 one of its subsidiaries, received $447 million in German government aid and another $345 million from Polish flag carrier LOT who was planning to takeover the airline but couldn’t due to the coronavirus. TUIfly Deutschland and Condor will make drastic fleet reductions as a result of the lack of business they had during the heart of the crisis: TUI is planning to reduce its fleet size from 39 aircraft to 17 and Condor is lined up to cut its 53 aircraft fleet by 25%. In January this year, it was announced that LOT would acquire Condor. Although the acquisition was supposed to be completed in April, LOT pulled out of the bid. The reasons for this are unknown, but it is clear that performing a takeover during an economical crisis is hardly the best move to make. This is definitely an interesting case, as Condor and TUIfly Deutschland are competitors in the leisure travel market. A possible way to get rid of competition? If you wish to express your opinion, write a comment below. 3rd of August 2020.
Aeronews24 