Spain approves 475 mln euro aid package for Air Europa

Air Europa, whom sources said had asked for the help to weather the pandemic, did not immediately respond to a request for comment. British airways owner IAG, which agreed to buy Air Europa for 1 billion euros last November, said last week it was still interested in pursuing the deal.

Spain's government on Tuesday approved a 475 million euro ($555.85 million) aid package for Air Europa, to help the stricken airline recover from the effects of the pandemic, government spokeswoman Maria Jesus Montero said after a weekly cabinet meeting.

The aid package will comprise a 240 million equity-backed loan and a 235 million regular loan, Montero said. Air Europa, whom sources said had asked for the help to weather the pandemic, did not immediately respond to a request for comment.

British airways owner IAG, which agreed to buy Air Europa for 1 billion euros last November, said last week it was still interested in pursuing the deal. ($1 = 0.8546 euros)