Ryanair today confirmed it had raised its stake in Aer Lingus to 25 per cent, effectively blocking anyone else from making a bid for the carrier.
A stock exchange announcement showed Ryanair had increased its holding in Aer Lingus to 25.2 per cent from 19.2 per cent, even though its current €2.80 euro-a-share offer looks set to fail given formal opposition from key shareholders.
"It confirms my own view they are not going anywhere anytime soon," Aer Lingus chief executive Dermot Mannion told The Future of Air Transport conference in London.
Mr Mannion said the airline would present details of its cost-cutting programme to unions by the end of this week, and he flagged lower staff costs.
"We will continue to see a downward trend in unit staff costs in 2007 and beyond," he said.
The Competition Authority said last week Aer Lingus must publish the details of a cost-cutting programme planned for next year by December 1st.
Ryanair has said it plans to remain a long-term investor in its rival and that it could make a fresh bid in a year's time if its current offer, which values the former state carrier at €1.48 billion, fails.
