Ryanair has today challenged a decision by the UK antitrust regulator ordering it to slash its stake in Aer Lingus to no more than 5 per cent.
Ryanair is appealing the UK Competition Commission's August ruling on the grounds there is no basis in law for it have to have come to its decision, and that the procedure was flawed, David Pannick, a lawyer representing Ryanair said on the first day of the three-day hearing at the London Competition Appeals Tribunal.
Ryanair’s 29.8 per cent holding in the Irish airline, valued at about €249 million, affects Aer Lingus’s policy and strategy, the Competition Commission said in a report published in August, ordering the Dublin-based company to cut its stake in Aer Lingus.
Ryanair is appealing the regulator’s decision on six grounds, Pannick said. Europe’s largest low-cost carrier has done battle with competition authorities in Europe since it first bought Aer Lingus shares as part of a takeover bid in 2006.
Ryanair chief executive officer Michael O'Leary's most recent offer for the smaller rival was blocked in February 2013 by the European Union, which ruled it would increase fares and reduce choice.
Bloomberg