The historic Alitalia brand with its over fifty years of history is officially up for sale. The long-awaited sale of the brand was announced by its three extraordinary commissioners, Gabriele Fava, Giuseppe Leogrande, and Daniele Santosuosso.
While Italia Trasporto Aereo (ITA) is seen as the preferred bidder, it may be forced to pay far more for the brand than it had initially anticipated. Bids for the Alitalia brand can officially be made from noon today until midnight on the 30th of September, 2021, with a base tender price set at €240 million.
In order to make a bid for the flag carrier brand, eligible bidders must hold a valid Air Operator Certificate from any national aviation authority and have a net worth of at least €200 million. These restrictions have been put in place to guarantee that the name “Alitalia” remains in the aviation industry and is preserved as a historic brand for travellers.
So far no other airline has publicly expressed an interest in the Alitalia brand. However if another bidder were to be successful and own the brand, it could create problems for ITA, which plans to operate 52 aircraft carrying the Alitalia brand.
Like many flag carriers, the Alitalia name and brand has been heavily associated with Italy since the post-war period. The iconic Italian airline has carried prominent Heads of State, international institutions and numerous Popes on their pastoral missions. Hopefully the carrier will remain part of Italy’s cultural and historical heritage once the auction has ended.
However, with ITA expected to launch commercial operations from October 15th, this leaves the carrier with just two weeks to secure the Alitalia brand and close negotiations with trade unions. While ITA has already expressed its intention to purchase the Alitalia brand, the starting auction price of €290 million is much higher than the €150 million figure which was previously suggested only a couple of months ago.
Once the sale has been completed, the Alitalia brand will then be legally transferred to the winning bid “by December 31, 2021.” Following the completion of the sale, the commissions will still be able to use the Alitalia name, but not the logo until the end of the carrier’s extraordinary administration.
Source: https://aeronewsx.com/alitalia-brand-is-officially-up-for-sale/
