The global coronavirus outbreak has reportedly stalled plans
to sell Alitalia, with the Italian government now considering renationalising
the troubled airline.
Alitalia has faced a rocky journey over the past few years
and filed for bankruptcy in 2017. It has been kept in operation through a
number of government rescue loans, with multiple take-over bids failing in the
years since.
The Italian government had been seeking interested bids with a 31 May deadline for a sale, but local news outlet Il
Messaggero said the country-wide lockdown as a result of the coronavirus had
forced it to abandon those plans.
According to other reports, the government is prepared to
take control of Alitalia’s aviation and land operations in a move that could
cost taxpayers up to €600 million.
Fellow Italian carrier Air Italy ceased operations last month and went into administration after failing to get stakeholder support for a rescue.
The deal is thought to be part of a wider €25 billion
package agreed by prime minister Giuseppe Conte to help families and businesses
affected by the coronavirus, which has killed more than 2,100 people in Italy.