IAG acquires Spanish Air carrier Air Europa for 1 billion euros

British Airways owner IAG said on Monday that it has had agreed to buy Spanish carrier Air Europa for 1 billion euros ($1.12 billion) in cash as it set its sights on the market in European travel to Latin America.

“Acquiring Air Europa would add a new competitive, cost-effective airline to IAG, consolidating Madrid as a leading European hub and resulting in IAG achieving South Atlantic leadership,” Willie Walsh, chief executive of IAG said.