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Aeroflot buys Transaero to create air transport giant

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Aeroflot buys Transaero to create air transport giant

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Aeroflot is buying a 75% stake in ailing private airline Transaero for one rouble.

The Russian national carrier’s takeover creates one of the world’s largest air transport companies. Aeroflot takes over Transaero’s 1.4 billion euro debt, and says the company will be “completely overhauled and integrated” into the group.

Transaero has reported growing passenger numbers this year, but all Russian airlines are facing tough times as the premium international travel market has dropped out of the sky, leaving the companies with their unprofitable domestic routes.