6 replies to this topic

[Hake.]

Well, I found out yesterday that the UK Competition Authority has ordered Ryanair to sell 25% of their 30% stake in Aer Lingus. As both are Irish airlines and Aer Lingus doesn't operate many domestic UK routes, besides 4 aircraft leased to Virgin and flights operated from Belfast to London. Their reasoning is that London - Dublin is their biggest international route. I want to see people's opinions on whether or not different countries' authorities should be able to intervene in issues.

[Will101]

Lingus used to do a range of flights from Gatwick and have flights from Belfast.

Ryanair have many UK bases some of which are quite large. 

Ireland belong in the UK. 

[Luft]

Oh, no they don't.

 

 

Ireland belong in the UK. 

[Hake.]

Yeah, don't mind Will. As his siggy says . Also, as his post has little bearing on whether or not foreign competition authorities should be allowed to intervene in these matters other than state that Aer Lingus flies fro Belfast...

[Frdm920]

Whilst both airlines are registered and have their HQs in Ireland, they are also listed on the London Stock Exchange, this gives the UK Government authority in regards to share acquisitions and the like...

So I don't actually see a problem here

[Hake.]

Whilst both airlines are registered and have their HQs in Ireland, they are also listed on the London Stock Exchange, this gives the UK Government authority in regards to share acquisitions and the like...

So I don't actually see a problem here

Well, I doubt that the Irish, French or American competition authorities would have had any grounds to prevent BA from forming IAG, even though millions of passengers fly there.

[Frdm920]

Neither BA nor Iberia are listed on any of those nation's stock exchanges though, additionally IAG was an approved merger, whereas Ryanair has tried 3 times (unsuccesfully) to fully acquire/merge with Aer Lingus, and the Competition Commision found that despite this, Ryanair were using their stake in Aer Lingus to influence the direction of Aer Lingus and to reduce the competition that Aer Lingus posed to Ryanair (something that is against the UK Enterprise Agreement Act of 2002) given as previously stated both companies are listed on the London Stock Exchange the Competition Commision, which in turn forms part of the Government of the United Kingdom to the best of my knowledge has the authority to impose their commands on both companies involved to ensure their compliance with the Act and other UK laws relating to competition between companies.

 

In short, if you're listed on a country's stock exchange, that country's laws are applicable to your sharemarket dealings.