BA says holding deal talks with Iberia

British Airways said it will hold talks later on Thursday with Spanish carrier Iberia about a "potential transaction", following recent reports that the pair could announce a merger deal this week. Skip related content

"Further to recent market speculation, British Airways confirms that the British Airways and Iberia Boards are holding separate meetings today, 12 November, to consider a potential transaction," BA said in a brief statement.

"However, no decisions have been taken and, at this time, there can be no guarantee that a transaction will be forthcoming. A further announcement will be made in due course, if appropriate."

A merger of BA and Iberia would create Europe's third-largest aviation group.