DUBLIN (Reuters)-Ryanair, Europe's biggest low-cost carrier, confirmed on Monday it had bought a further 4 percent in rival Irish airline Aer Lingus, bringing its total stake to over 29.4 percent.
"These new shares were acquired at or less than 2.45 euros per share, which lowers the average cost of Ryanair's shares in Aer Lingus," Ryanair said in a statement.
Traders said earlier they believed Ryanair may have been buying up Aer Lingus stock in the market after traded volumes in its shares soared to more than 6 million, compared with their 30-day full-day average of 1.1 million.
Shares in Aer Lingus closed 1.2 percent higher in Dublin at 2.45 euros.
In June, the European Commission blocked a Ryanair takeover bid for Aer Lingus, but Ryanair has said it will challenge that decision in the courts.
Ryanair made no reference to its takeover ambitions on Monday, however, and instead pointed out that its move could help other shareholders block plans by Aer Lingus to transfer valuable Heathrow slots from Shannon airport to a new base in Belfast.
"Should Ryanair abstain from voting at the EGM as it has offered to do, then the government and the ESOT (employees) will have a clear majority and can vote as shareholders to save the Shannon-Heathrow route," Ryanair said in a statement.
Aer Lingus only just averted a planned strike by pilots this week over its plans to expand in Northern Ireland at the expense of Shannon Airport in the west of the Republic of Ireland.
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