IAG reportedly cuts Air Europa purchase price

British Airways owner IAG has reportedly managed to cut the price of its acquisition of Spanish airline Air Europa to €300m - €400m.

The deal for the low-cost carrier was originally slated at €1bn last year, but has been delayed due to the coronavirus pandemic.

The new price will be paid in IAG shares, Spanish news site El Confidencial reported, citing unnamed sources.

IAG chief executive Luis Gallego last month said that the group, which also owns Iberia and Aer Lingus, was still interested in buying Air Europa despite the crippling impact of the pandemic on the industry.