BA takeover bid news to Dept of Public Enterprise

Public Enterprise Minister Mary O'Rourke is meeting financial experts today to discuss the future of Aer Lingus.

It is thought that a £200m investment is needed to update the fleet, but British Airways is understood to be interested in a takeover.

Mrs O'Rourke is meeting advisors from City Group and AIB Capital to discuss the best option for the future of the State airline which has been dogged by negative publicity recently.

Despite the £200m upgrade, British Airways is thought to be interested in a £300m takeover.

A spokesperson for the Minister said he was unaware of any interest from BA at this stage, adding the option of a trade sale was a very tentative stage, with the floatation of the company still being considered.

Experts believe that BA would most likely push for a full takeover, but it could enter into a bid with a partner for a stake in the company.