Irish Government rejects Ryanair bid for Aer Lingus

The Irish Government has decided not to sell its 25%  stake in Aer Lingus to Ryanair at the offer price of €1.40 per share,  Minister for Transport Noel Dempsey announced this afternoon.

The Minister said the decision was taken on the basis that the offer greatly undervalues the former national airline  and that the proposed mergerwould be likely to have a significant negative impact on competition in the aviation market.

Meanwhile, Ryanair has ruled out any significant upward adjustment in its €1.40 a share offer for Aer Lingus which is approaching its January 30th deadline.

Ryanair said it will only raise its €748 million cash offer if a substantial number of Aer Lingus owners say they would be willing to accept a higher offer.

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