Aer Lingus is examining a higher takeover offer worth 1.35 billion euros ($1.51 billion) from International Airlines Group, parent of British Airways and Iberia, it said Monday.
The Dublin-based carrier revealed in a statement that IAG has made an offer worth 2.55 euros per share, comprising 2.50 euros in cash and a dividend of 0.05 euros per share.
“The board of directors of Aer Lingus confirms that it has received a revised proposal from International Consolidated Airlines Group (IAG),” Aer Lingus said in a statement following weekend speculation over a third takeover bid.
“The revised proposal remains conditional on, amongst other things, confirmatory due diligence, the recommendation of the board of Aer Lingus and the receipt of irrevocable commitments from Ryanair Limited and the Minister for Finance of Ireland to accept the offer.”
“The board is considering the revised proposal,” the Irish firm added in the statement.
Aer Lingus had already snubbed two previous takeover offers from IAG.
Since December, the Irish airline has rejected bids of 2.40 euros and 2.30 euros a share.
Irish low-cost rival Ryanair is meanwhile the biggest single shareholder in Aer Lingus and has itself made three failed attempts to buy the airline since 2007.
Ryanair owns about 30 percent and the Irish state’s holding is one-quarter of Aer Lingus.
IAG chief executive Willie Walsh was boss of Aer Lingus between 2001 and 2005, before he took the reins at British Airways.
BA and Iberia subsequently merged in 2011 in a tie-up aimed at slashing costs amid a fierce economic downturn that boosted demand for low-cost competitors and sparked steep losses for traditional carriers.