British Airways owner in talks to address Palma-based Air Europa bid concerns

"Regarding Air Europa's acquisition, we continue to make progress with the European Commission and have already shared with them the potential airlines that would take over the routes renounced as part of the remedy package," IAG said in a statement in a call with Spanish media outlets.

It added that "as shared before, we have received a lot of interest from different carriers and are working with Avianca, Binter, Iberojet, Ryanair, Volotea, and World2Fly as potential remedy takers both on long-haul and short-haul routes".

IAG has until June 10 to submit remedies.

In February 2023, IAG said it had agreed to pay 400 million euros ($430.84 million) to Spanish tourism company Globalia for the 80% of Air Europa it did not already own in a bid to improve its Latin American market share, expand into Asia and allow its Madrid hub to compete with other major airports in Europe.

IAG Chief Executive Luis Gallego told analysts after reporting first-quarter earnings that the group could pull the plug on its bid for Air Europa if conditions demanded by regulators prove too cumbersome, but he said that IAG wasn't yet at that point.