British Airways owner IAG planning to increase bid for Aer Lingus

British Airways owner IAG SA is planning to increase its offer for Aer Lingus Group Plc after the Irish carrier rebuffed previous approaches.

People familiar with the matter say IAG is considering increasing the proposed offer to as much as €2.50 ($2.95) a share as early as this week, though no final decision has been made.

London-based IAG said on January 9 that Aer Lingus rejected an offer worth €2.40 per share, which valued the Irish company at €1.28bn.