Confirmation that Juan José Hidalgo will retain absolute control over the management of Air Europa despite the recent addition of Turkish Airlines as a new shareholder is one of the main implications of the company’s latest financial transaction. As Europa Press reports, this shareholder restructuring and completion of the debt relief process positions the Spanish airline in a new cycle, now focused on expansion and growth under Hidalgo’s leadership.
The early repayment of all outstanding debt marked the culmination of a phase characterized by financial recovery. According to Europa Press, Air Europa has prepaid both the loan granted by the State Society of Industrial Participations (SEPI) and the bank loan guaranteed by the Official Credit Institute (ICO). This cancellation, which occurred one year before the set deadline, leaves no financial burden on the company and has a renewed shareholder structure due to Turkish Airlines’ investment. Europa Press explained that the Turkish airline acquired 26% of Air Europa’s share capital for 300 million euros, bringing the company’s valuation to around 1,175 million euros.
Following this transaction, Air Europa’s shareholder composition now includes three key players in the sector: Globalia, which retains majority and direct management; Turkish Airlines with 26% stake; and International Airlines Group (IAG), owner of 20%. However, as stated by Europa Press, the management structure remains unchanged, with Juan José Hidalgo leading the operational and executive management as president of Globalia and the Spanish airline itself. Despite the entry of Turkish Airlines and the existing participation of IAG, no changes in the management team or in immediate decision-making are expected, according to the media.
Hidalgo stated that the possible representation of Turkish Airlines on the board has not yet been finally clarified. According to statements collected by Europa Press, the acting president himself assured that a future appointment to this body will have no impact on the day-to-day management, which will continue to be under his leadership. Hidalgo also explained that his recent appointment as joint CEO was only due to administrative procedures and does not change the executive powers he already exercises.
The previous phase, characterized by public financing, left significant numbers on Air Europa’s work balance. Europa Press media reported that the company managed to retain almost 4,000 jobs and create 600 additional jobs during the period supported by SEPI. The government funding included daily interest payments of almost 70,000 euros, a total payout that exceeds 97.2 million euros in interest alone, i.e. 20% more than the original loan amount.
Europa Press reported that the early cancellation of the loan combined with Turkish Airlines’ capital injection represents the definitive termination of Air Europa’s financial obligations. From now on, the company’s management will focus on the commercial exploitation and direct management of the company, expressing independence with regard to past financial obligations.
The biggest operational challenge currently is the lack of new aircraft to expand the fleet. According to Europa Press, difficulties related to delays in aircraft deliveries by Airbus and Boeing are significantly affecting expansion capacities until at least 2032. The company currently operates the Boeing 787 Dreamliner and 737 MAX models and recently signed an agreement with Airbus to acquire up to 40 units of the A350-900. Delivery is expected to begin in 2028. This investment will increase seating capacity and promote efficiency on existing routes as well as frequency adjustment, although it will not lead to a significant increase in the total number of aircraft until the next decade.
In parallel to strengthening the fleet, Air Europa is examining possible new commercial agreements together with Turkish Airlines. Projects being examined include the creation of a second daily connection between Madrid and Istanbul, the establishment of similar routes from Barcelona and the integration of two cargo aircraft. According to Europa Press, negotiations have not yet reached a final agreement on these points.
Regarding the purpose of the recent investments, Hidalgo emphasized that neither Turkish Airlines’ contribution nor IAG’s position is based on the search for short-term synergies, but rather reflects the partners’ confidence in the strength of Air Europa’s business model. According to Europa Press, the expansion strategy includes opening new international routes, particularly to African cities such as Marrakech, Tangier and Tunisia, as well as the South African capital Johannesburg. The plans to open the connection with Johannesburg have no fixed date but are part of the diversification policy and the search for new markets.
The entry of Turkish Airlines marks the consolidation of a shareholder structure that brings together three major companies from the European and global aviation industry under the Air Europa umbrella. Europa Press explained that negotiations for the investment began before the summer and were mainly led by Javier Hidalgo and his team. This process culminated in obtaining the necessary resources to accommodate the financial restructuring.
Air Europa’s immediate future, Europa Press reports, will depend on the development of aircraft production and delivery, as well as the ability to diversify routes and markets in an international environment characterized by strong competition. Growth strategies depend on the availability of new aircraft and the commercial agreements reached with the new shareholders. According to the line established by the company and confirmed by Europa Press, management and operational control remain in the hands of Juan José Hidalgo, without the new partners changing the global management of Air Europa.
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