Niki Lauda is giving up his majority stake in airline Niki Luftfahrt as part of his appointment to Air Berlin's board of directors.
The German carrier has appointed the Austrian airline entrepreneur and former Formula 1 driver as a non-executive director.
As part of the deal, Lauda will withdraw his 50.1% shareholding in Niki Luftfahrt, which is held by the Lauda Private Trust.
The stake will be transferred a "new private trust", which is to be "exclusively Austrian" and remain the airline's majority shareholder, Air Berlin said.
The ownership structure dates from a 2010 loan agreement between Lauda and Air Berlin, when the German carrier increased its shareholding from 24% to 49.9% in a cash for equity deal.
Under the terms of that deal, the loan would be deemed to be repaid by the indirect transfer of the 50.1% shareholding.
The transaction, which is to take place "shortly", will not involve any cash payment, Air Berlin said.
Lauda stated that he would now be able to contribute to the development of the entire airline group.
Hartmut Mehdorn, who became Air Berlin's interim chief executive after Joachim Hunold's resignation in August, said that "deeper co-operation" with Niki Luftfahrt would strengthen the group's presence in Vienna, especially with regard to routes to Eastern Europe destinations.
While the Austrian airline will remain a legally independent company with its own management and brand name, "its further integration into the Air Berlin family delivers numerous economic and logistical advantages", Mehdorn added.
Source: Air Transport Intelligence news
