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Saturday, May 26, 2018

Europe Weekend Review: Ryanair's M&A Appetite + NH Hotels Gets New Investment

May 26, 2018 View in browser

Editor's Note

Plenty of people in the aviation industry have learned not to take Ryanair CEO Michael O'Leary too seriously over the years. You just need to take a look at some of his most outlandish quotes to understand how his mind works. He's happy trolling other airlines, politicians and the traveling public, but you can only get away with that kind of behavior if your airline is a success – which undoubtedly Ryanair is.

His criticism of Brexit is overblown, but pertinent as is his assessment of the airline industry in general. O'Leary has long predicted that rivals would go bankrupt and he has saved some of his choicest words for Norwegian. What then to make of the story this week that Ryanair has shown an "interest" in Norwegian?

It's not as outlandish as it might appear. After all, Ryanair is now much more interested in participating in airline mergers and acquisitions than it was before. It is buying up to 75 percent of newly created Austrian carrier LaudaMotion and this week O'Leary said there would be further "opportunities" in this arena.

So what about Norwegian? A Ryanair spokesperson denied it was interested in Norwegian, telling the Irish Independent: "Our CEO has repeatedly said we believe NAS [Norwegian] will go bust as oil rises to $80 a barrel and we don't catch falling knives."

That would be a no then.

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