Etihad buys 3% stake in Aer Lingus ahead of tie-up

Etihad Airways has bought a 3% stake in Aer Lingus as a precursor to a commercial tie-up that could help Abu Dhabi’s flagship carrier gain more European routes to catch up with Middle Eastern rivals.

The deal also positions state-owned Etihad as a potential buyer of the Government’s 25% stake in Aer Lingus, which it is being sold as part of the troika bailout.

After months of speculation about a possible deal, the airlines said yesterday that Etihad’s stake purchase reflected “its desire to forge a commercial partnership” with Aer Lingus.