Italy plans reset of ITA Airways sale with opening for Lufthansa

Italy plans to reset months of talks to find a buyer for its troubled airline ITA Airways, a decision that reopens a possible involvement of Germany’s Deutsche Lufthansa AG in the deal, according to people familiar with the matter. The new government led by Giorgia Meloni is set to restart talks with MSC Mediterranean Shipping Company SA and Lufthansa after a period of exclusive with a group led by Certares Management together with Delta Air Lines Inc. and Air France-KLM ended with no deal, the people added, asking to not be named as the plans are not public. The proposal to reopen the race between the two rival bids reflects the new government’s intention to seek a strong industrial partnership, rather than favoring a purely financial investment, the people said. Going back to the drawing board on the deal to sell the airline that emerged from the ashes of troubled former flag carrier Alitalia would allow the government to retain up to 49% of the company, they said. Talks with MSC and Lufthansa are expected to take place in coming weeks, they added. Keeping the airline in business has been a challenge for decades for Italian governments, and several efforts to engineer deals have failed, requiring the state to pour billions to keep it flying. “Lufthansa Group remains interested in the Italian market,” a spokesperson for the airline said Wednesday. “We are monitoring the further sale process of ITA and remain interested in a genuine privatization of the airline.” <br/>