ROME — The Lufthansa Group from Germany has officially completed the acquisition of ITA Airways, marking the end of a prolonged period of uncertainty for Italy’s former flagship airline.

In a deal valued at 325 million euros (around $350 million), Lufthansa has secured an initial 41% stake in ITA, which used to operate under the name Alitalia. The agreement includes provisions for the German airline to acquire full ownership by 2033 through a total investment of 829 million euros.

For the time being, the remaining 59% of ITA will still be managed by the Italian Treasury.

Originally unveiled in May 2023, this acquisition was cleared by the European Commission after an extensive year-long scrutiny, which included conditions aimed at preserving competition within the industry. The commission highlighted that Lufthansa, ITA, and associated partners currently dominate several key routes connecting Rome and Milan to North America.

As part of the agreement, the newly formed company will be required to facilitate the entry of competing airlines to establish direct flights from Rome or Milan to central European airports where competition is minimal. Additionally, they must ensure rivals have access to long-haul routes between Italy and both the United States and Canada, along with providing slots at Milan’s Linate airport for competitors.

Carsten Spohr, the Chief Executive Officer of Deutsche Lufthansa AG, stated, “With our investment, we will now strengthen the Italian and European aviation market and the position of the Lufthansa Group as number one in Europe.”

He further emphasized that travelers worldwide can look forward to enhanced services and improved connections starting with the upcoming summer flight schedule.