Etihad Airways and Emirates Airline have moved swiftly to deny that there are any talks about a possible takeover of the Abu Dhabi carrier by its Dubai-based rival.
Bloomberg News, citing people familiar with the matter, reported that Emirates is looking to take over Etihad Airways, and create the world’s biggest carrier by passenger traffic.
The talks, which Bloomberg said are at a preliminary stage, would see Emirates acquire the main airline business of Etihad, according to the people, who asked not to be named because the matter is confidential. The negotiations could yet fall through, they said.
However, both airlines have denied that there have been any talks about a possible deal. An Etihad Airways spokesperson told Arabian Business that there is "no truth to this story."
Similarly, a spokesperson for Emirates said, “There is no truth to this rumour.”
Emirates president Tim Clark, speaking in June this year, said he didn't envisage a merger taking place in the "short-term, medium-term".
Source: Arabian Business