MADRID--European carriers Deutsche Lufthansa AG (LHA.XE, DLAKY)
and Air France-KLM (AF.FR, AFLYY) intend to sell shares in
travel-technology company Amadeus IT Holding SA (AMS.MC, AMADY) as
part of an effort to shore up their finances amid high fuel costs
and intense competition in Europe.
The airlines and banks involved in the transaction said in
filings with the Spanish market supervisor on Tuesday that
Lufthansa plans to sell more than 16.17 million shares in Amadeus,
representing a 3.61% stake. French bank Societe Generale SA
(GLE.FR, SCGLY), in turn, intends to sell more than 7.44 million
shares, or a 1.66% stake in the company, previously held by Air
France.
Air France said it conducted a derivatives transaction with
Societe Generale on a package of 12 million Amadeus shares, or a
2.68% stake in the company. The French bank is selling 7.44 million
shares of that package through the accelerated bookbuild offer
disclosed on Tuesday.
The sale of the combined stakes could raise some 457 million
euros ($580 million), if the 23.61 million shares are sold at
Tuesday's closing price of EUR19.36. Amadeus has a market value of
EUR8.67 billion and 448 million shares outstanding.
Iberia, the Spanish wing of International Consolidated Airlines
Group (IAG.LN, IAG.MC, ICAGY) and an Amadeus shareholder, also
conducted a derivatives transaction with Amadeus shares earlier
this year to protect the value of its investment amid weak domestic
demand in Spain. Air France also has sold Amadeus shares earlier
this year. The French carrier had a 7.7% stake in Amadeus,
according to the latest regulatory records.
Lufthansa, which currently owns 7.61% of the Madrid-based
company, said it will transfer the rest of the shares it owns in
the company to its pension fund unit.
Write to Santiago Perez at santiago.perez@dowjones.com
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