display
The EU competition watchdogs have approved German state aid of up to 1.25 billion euros for the travel group Tui, which has been hard hit by the Corona crisis.
The EU Commission announced in Brussels.
"Like many other tourism companies, Tui was badly hit by the corona crisis," said the EU Commission Vice President responsible, Margrethe Vestager.
According to the EU Commission, German state aid is “necessary, suitable and appropriate” to remedy a “considerable disruption in the economic life of a member state”.
The state will "receive sufficient remuneration for the risk borne by the taxpayers and combine the support with conditions in order to limit possible distortions of competition", stressed Vestager.
The state aid for the world's largest travel company Tui is part of a larger support package in which private investors are also involved.
According to the EU Commission, the federal government's 1.25 billion euros include a silent participation of 420 million euros, which can be converted into Tui’s equity.
The package also includes a non-convertible silent participation of up to 680 million euros and a convertible bond with warrants of 150 million euros.
All developments on Corona in the live ticker: