Qatar increases its stake in BA-owner IAG to 25.1%

FILE PHOTO: A Qatar Airways Boeing 787-8 Dreamliner airplane is pictured at Leonardo da Vinci-Fiumicino Airport in Rome, Italy, March 30, 2019. REUTERS/Alberto Lingria

LONDON (Reuters) – Qatar Airways Group said on Wednesday it had increased its holding in British Airways-owner IAG (ICAG.L) to 25.1%, buying another stake worth $600 million as part of a strategy it described as being highly successful.

Qatar previously held 21.4% of IAG, which also owns Spanish carriers Iberia and Vueling and Ireland’s Aer Lingus.

The cost of increasing its IAG holding is 465 million pounds ($604 million), based on the closing price of IAG’s shares on Tuesday.

Qatar first invested in IAG in 2015, buying 9.99% of the company, and has steadily increased it since then.

It also owns stakes in China Southern (600029.SS) and Cathay Pacific (0293.HK), and said earlier this month it was in talks about doubling its holding in LATAM Airlines Group (LTM.SN) to 20% and buying a 49% stake in Africa’s RwandAir.

It said it continued to support IAG and its strategy.

Reporting by Paul Sandle; editing by Kate Holton

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source: reuters.com