International Consolidated Airlines Group (LON:IAG) has unveiled a new boss at its Aer Lingus airline, with Stephen Kavanagh having decided to step down following a three-decade-long career at the company. The FTSE 100 group, which also owns British Airways, Iberia and low-cost airlines Vueling and Level, acquired the Irish flag carrier in 2015.
IAG’s share price has jumped in London in today’s session, having gained 1.27 percent to 589.20p as of 14:39 BST. The shares are outperforming the blue-chip FTSE 100 index which currently stands 0.44 percent higher at 7,038.08 points.
New boss at Aer Lingus
IAG announced in a statement yesterday that Aer Lingus chief executive Stephen Kavanagh will step down on January 1, while remaining on the board as a non-executive director. He will be succeeded as chief executive and executive director by Sean Doyle who is currently British Airways director of network, fleet and alliances.
“Stephen has been an exceptional chief executive and has transformed and modernised Aer Lingus,” the FTSE 100 group’s chief executive, commented in the statement.
IAG noted that Mike Rutter, chief operating officer of Aer Lingus, had extended his contract with the Irish flag carrier.
Analyst ratings update
Credit Suisse, which sees IAG as a ‘buy,’ set a price target of 780p on the shares today. According to MarketBeat, the British Airways and Aer Lingus parent currently has a consensus ‘buy’ rating and an average price target of 760.41p.
The FTSE 100 group’s shares came under pressure yesterday when the Competition and Markets Authority announced that it will probe the Atlantic Joint Business Agreement, which includes American Airlines, Finnair and IAG’s British Airways and Iberia units.
IAG is scheduled to update investors on its third-quarter performance on October 26.