IAG Bid Doesn’t Alter Ruling on Ryanair Cutting Aer Lingus Stake

U.K. competition authorities provisionally confirmed a decision requiring Ryanair Holdings Plc to sell-down its stake in Aer Lingus Group Plc despite a potential takeover bid by British Airways parent IAG SA.

The proposed remedy, which would see Ryanair trim its holding to no more than 5 percent, should stand and isn’t affected by IAG’s proposed offer for Aer Lingus, the U.K. Competition and Markets Authority said in a statement Friday. The decision made in August 2013 said that budget airline Ryanair’s 29.8 percent stake in Aer Lingus gave it too much control over its primary rival in Ireland.