Ryanair to make offer for Cyprus Airways

Dublin - Ryanair has moved a step closer to making an offer to buy Cyprus Airways and may make a firm offer early next year if this is approved by the Cypriot government.

The airline's decision follows a meeting between Ryanair chief executive Michael O'Leary last Friday with the Cypriot government, which owns more than 90% of Cyprus Airways.

"Ryanair is planning to make a non-binding offer on Friday as a result of a positive meeting last week," chief marketing officer Kenny Jacobs said. He said a couple of months of due diligence would be required before a binding offer was possible.

Ryanair was among nearly 20 companies which last month submitted non-binding expressions of interest in the airline, which has been loss-making for years despite several attempts at a turnaround.

Ryanair said last week it could boost the airline's passenger numbers to 3 million per year from 600 000 currently, down 50% from peak.

Ryanair has only ever taken over one other airline, Buzz, which was absorbed into the Ryanair brand.

READ THIS NEXT: Ryanair scraps bag check-in fees