Full Breakdown
LOT Polish Airlines Loses Bid for Smartwings to Pegasus Airlines
12/8/2025, 11:11:09 PM
Collapse of the Acquisition Deal
LOT Polish Airlines' anticipated acquisition of Smartwings, the largest airline in the Czech Republic, has fallen through after Turkish low-cost carrier Pegasus Airlines submitted a last-minute bid of €154 million ($180 million). Reports indicated that LOT was finalizing the purchase, with the Polish government even preparing a press conference to announce the deal. However, on December 7, 2025, it was revealed that Pegasus had outbid LOT by €10 million, prompting Smartwings to accept the Turkish airline's offer.
Implications for LOT Polish Airlines
The failed acquisition represents a significant setback for LOT, which aimed to enhance its fleet and expand its market presence in Central Europe. Smartwings operates a fleet of 112 aircraft, including over 40 Boeing 737 MAX 8, which would have bolstered LOT's medium-haul capabilities. Industry experts, including Michal Leman, a former marketing director at LOT, expressed disappointment, noting that the acquisition would have provided LOT with essential resources to develop its charter offerings and strengthen its operations at the planned Central Communication Port (CPK) mega-airport near Warsaw.
Strategic Moves by Pegasus Airlines
Pegasus Airlines announced its acquisition plans on December 8, stating that the deal would allow it to enhance its European presence and support global expansion. The agreement includes the debts of both Smartwings and its parent company, Czech Airlines, and is subject to regulatory approval. Smartwings will continue to operate under its own name, with the transition expected to take about 12 months. The Turkish carrier aims to leverage Smartwings' established network of 80 destinations across 20 countries to further its growth strategy.
Criticism of Smartwings' Decision
The abrupt shift in ownership has drawn criticism from Polish aviation experts. Leman characterized the situation as "frivolous behavior" by Smartwings' current owner, suggesting that LOT's preparations indicated a high level of confidence in the acquisition. Adrian Furgalski, president of ZDG TOR, emphasized the lost opportunities for LOT in building a hub at CPK, highlighting the strategic importance of Smartwings' fleet and operational capabilities.
Conflicting Reports and Future Prospects
While LOT Polish Airlines has not publicly commented on the failed acquisition, industry speculation suggests that other airlines, including Discover Airlines and SunExpress, were also in discussions to acquire Smartwings. The outcome of Pegasus Airlines' acquisition will depend on regulatory approvals, with completion expected in 2026. As LOT seeks alternative strategies to expand its fleet, the implications of this deal will likely reverberate throughout the Central European aviation market.
Verbatim Quotes
- “pl that it was “a pity” it had not gone through.” — Michal Leman, Former Marketing Director at LOT
- “The strategic investment aims to strengthen the company's presence in Europe and support global expansion.” — Pegasus Airlines Statement
- “looks more like frivolous behaviour by the current owner of Smartwings, because, considering the level of preparation for communication regarding the takeover, LOT was confident in its offer” — Michal Leman, Former Marketing Director at LOT
