Ryanair submits official Offer Document for Aer Lingus
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Ryanair submitted (23-Oct-06) its official Offer Document to Aer Lingus shareholders for its take-over of
the carrier, reiterating its initial cash offer of EUR2.80 a share made on 05-Oct-06. The carrier acquired a 16% shareholding in Aer Lingus in the days following its 27-Sep-06 IPO, and has since increased that to approximately 19.2%, but has been legally barred from increasing its stake any higher because the share price has remained above Ryanair's offer price.
Ryanair believes that its proposal for Aer Lingus offers significant opportunity to create a strong, single Irish airline group, composed of two independent carriers, while offering gains for Aer Lingus, its shareholders and Irish passengers. Opposition to the Ryanair bid has been significant. The Irish Government has retained a 25.1% shareholding in Aer Lingus and announced it would not sell its stake to Ryanair, intending to maintain its significant minority share and seek a diversity of models in the market. The Employees Share Ownership Trust purchased 15.5 million shares, equivalent to nearly 3% of Aer Lingus, to increase its ownership to approximately 12.6%, while the pilots pension fund holds approximately 2.5%. Irish investment billionaire, Denis O'Brien, announced on 18-Oct-06 that he acquired a 2.1% shareholding to give support to the staff, the pilots and the board and management of the airline in blocking the Ryanair takeover.Aer Lingus urged its shareholders to take no action in regards to the Ryanair bid and announced it would formally issue its response to the offer within the next 14 days.
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Ryanair submits official Offer Document for Aer Lingus 
