ZAGREB (Croatia), July 13 (SeeNews) – Poland's flag carrier LOT on Friday refused to comment on Polish media reports, according to which it plans to start talks with the Croatian government for the acquisition of Croatia Airlines [ZSE:CRAL-R-A].
"We do not comment on speculation about the possible takeover of Croatia Airlines," Konrad Majszyk, a spokesperson for LOT, said in an e-mailed response to a SeeNews enquiry.
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Warsaw-based Rzeczpospolita daily economic newspaper reported without quoting sources earlier this week that LOT was invited by the Croatian government to negotiate on the acquisition of Croatia Airlines and that talks are expected to start this summer.
"LOT is today the fastest growing airline in Europe and the only regular carrier from the Central and Eastern Europe, which not only has not fallen or been taken over, but it is constantly profitable. After establishing a partnership with Nordica in Estonia, we are interested in further consolidation of the aviation market in the CEE," Majszyk said.
In the case of taking over Croatia Airlines, LOT will have to set up a base in Zagreb, which would compete with the existing hub of the Polish company in Budapest, the Polish daily newspaper said.
"If LOT decides to take over another carrier, it would have to guarantee a rapid impulse in our expansion. It is too early to comment on conversations that have not yet begun," Rzeczpospolita quoted the corporate communications executive director of LOT, Adrian Kubicki, as saying.
The Croatian government has also been in talks with Slovenian company Adria Airways for the acquisition of the Croatia Airlines, but they ended without success, Rzeczpospolita said.
Croatia's government said in April it plans to seek a strategic partner for Croatia Airlines this year or next, with the aim of ensuring the future development of the flag carrier. The strategic partner will be expected to boost the airline's market share, the government said back then.
Croatia Airlines said in April it turned to a consolidated net loss of 84.6 million kuna ($13.8 million/11.4 million euro) in the first quarter of 2018, from a net profit of 9 million kuna a year earlier.
(1 euro = 7.40181 kuna)