The Ministry of Transport of Latvia, airBaltic and Lufthansa Group have signed an agreement for Lufthansa Group to invest €14 million (US$14.7 million) in airBaltic, securing a minority stake and a seat on the airline’s Supervisory Board.
As part of the deal, Lufthansa Group will receive a convertible share representing a 10% stake in airBaltic. This share, issued at a subscription price of €14 million, will be converted into ordinary shares following a potential airBaltic IPO. After the IPO, Lufthansa Group’s final stake will depend on market valuation but will not fall below 5%.
This investment strengthens the existing strategic partnership between Lufthansa Group and airBaltic, further aligning the two airlines. Additionally, Lufthansa Group will appoint a member to airBaltic’s Supervisory Board once the investment is finalised. The transaction is expected to be completed in Q2 2025, pending antitrust approval.
The agreement provides airBaltic with essential funding to support its growth strategy, including the expansion of wet lease agreements. It also reinforces airBaltic’s strong market position and recognises its unique hybrid business model, ensuring the airline remains competitive in the European aviation sector.
