Etihad moves closer to acquisition of majority stake in Alitalia

Etihad Airways confirmed today it was going to submit a letter setting out the terms and criteria for an investment in Alitalia that has been negotiated with that airline and its shareholders over the past few months.

The Italian government looks favorably at the partnership between Etihad Airways and Alitalia, it was announced in a joint statement on Sunday.

Both airlines will proceed with final documentation to complete the transaction once the board and stakeholders in Alitalia confirm acceptance of the terms..

- We are delighted to be able to move forward with this process and look forward to the successful conclusion of the proposed transaction with Alitalia - Etihad Chief Executive James Hogan said in the statement.

Alitalia Chief Executive Gabriele Del Torchio said the deal would provide financial stability to the airline.