O'Leary pitches for rival airline

O’Leary takes advantage of tax slump to pitch for rival Ryanair CEO Michael O’Leary has launched a hostile bid for control of Irish national airline Aer Lingus. Mr O’Leary previously launched an unsuccessful earlier bid in 2006 when the national airline was privatised by Ireland’s government. O’Leary’s move is timed to coincide with release of revenue figures showing that tax revenues have plummeted as Ireland’s failing economy contracts. His bid puts a value of €175M on the remaining 25% Irish government stake. Ryanair has grown into Europe’s largest low fairs airline just 25 years after commencing services. Much if he recent success is attributed to O’Leary’s flair and dynamism. Ireland’s Finance Minister Brian Lenihan is studying the plan however given he has little room to manoeuvre O’Leary’s offer may now be more attractive to the government. O’Leary’s plan is to create one national Irish operated airline however he would retain the Aer Lingus brand. While government may be considering the offer most consumers are baffled at the prospect. O’Leary had previously been one of Aer Lingus’ strongest critics attacking the carrier for high prices and monopolising the key Dublin London air corridor. However should the planned take over go through the result will be a more powerful monopoly on air travel from the island. Aer Lingus operate from Belfast, Cork and Dublin to London Heathrow while O’Leary’s airline fly from 7 airports around the island to Luton, Gatwick and Stansted. O’Leary has proved to be one of Ireland’s most controversial businessmen. Refusing to relocate to live outside the jurisdiction he prides himself on his imaginative and attention seeking PR stunts. He personally arrives to pay his tax at the Revenue office. To combat Dublin’s growing gridlock O’Leary bought a taxi license entitling himself to drive to work in his public service vehicle along bus lanes. O’Leary has taken out full page ads in Ireland main newspapers attacking Ireland’s aviation policy. Ryanair has however opposed unions and it famously held out against a baggage handlers dispute at Dublin Airport. O’Leary has dismissed criticism of the company for its failure to provide facilities free of charge for physically disabled. O’Leary has also attracted publicity for his increasing gauche sexism in the company of women. O’Leary has made significant business mistakes. Share price at his airline has tumbled after profits slumped because of O’Leary’s inability to predict fuel price trends. O’Leary’s prediction of earlier this year of chaos in the airline industry by year’s end seems to be wide of the mark. Concerns over his judgement and his long term career path may influence some shareholders against selling to O’Leary. Aer Lingus’s ahre price rose in response to the offer however O’Leary may not gain enough shares to gain overall control.