Pegasus Airlines has finalized an agreement to acquire Czech Airlines and its leisure-focused subsidiary Smartwings, marking a significant expansion of the Turkish low-cost carrier’s reach into Central and Eastern Europe.
The €154 million deal includes both carriers and their receivables, with the final transfer pending regulatory approval.
The deal, announced on 8 December 2025, covers both companies and related receivables and remains subject to mandatory regulatory approval and transfer conditions. The transaction positions Pegasus to strengthen its presence across Europe while integrating two long-established airline brands.
The acquisition brings together Pegasus Airlines—founded in 1990 and operating to 158 destinations in 55 countries—and Smartwings Group, the Czech Republic’s largest airline with 80 destinations in 20 countries across its Smartwings and Czech Airlines brands. Pegasus states the combined fleet of 127 aircraft and 47 aircraft respectively will create growth opportunities, adding scale and route diversity across Central and Eastern Europe. The agreement is designed to support wider passenger access to low-cost fares and expand connectivity into new markets.
Strategic expansion into Central Europe
Pegasus Airlines explains the investment aligns with its objective of accelerating global growth through fleet expansion, technology-driven operations and network development. The carrier has built one of the youngest and most fuel-efficient fleets in the industry and aims to leverage operational synergies with Smartwings, which holds a leading position in the Czech leisure market and maintains partnerships with regional tour operators. Both carriers plan to maintain separate brand identities while developing shared capabilities.
Pegasus Airlines CEO Güliz Öztürk said: “At Pegasus Airlines, we set out in 2005 with a bold ambition – to make air travel accessible to everyone. Since then, we’ve expanded our fleet from 14 to 127 aircraft, becoming one of the world’s most efficient and profitable airlines. Now, by joining forces with Czech Airlines and Smartwings, which have a combined fleet size of 47, we’re opening a new chapter in our growth journey.”
Öztürk added: “A shared vision has emerged with Czech Airlines and Smartwings management: together, we aim to spread our wings across Europe with two distinctive brands, Smartwings and Pegasus Airlines. This integration is not just about growth, but about creating resilient, technology-driven companies that put safety at the heart of operations and are prepared to meet the future to deliver easy, personalised and efficient travel experiences. We look forward to shaping this future together.”
Öztürk said: “Today, I can confidently say that – We didn’t start aviation in Türkiye, but we transformed it – and now, we’re ready to take the next step in our growth story. Together with Czech Airlines and Smartwings, we have a shared vision: as Pegasus Airlines and Smartwings operating under two distinct brands, we will continue spreading our wings across the world.”
Shareholder transition after nearly three decades
The transfer concludes a long period of independent ownership for Czech Airlines and Smartwings. Shareholders state they devoted almost 27 years to developing the two carriers with what they describe as limited access to external financial support. The companies continued operations through aviation downturns, building resilience and network presence across Central and Eastern Europe.
Shareholder and co-founder of Smartwings, Jiří Šimáně, said the decision to sell reflects confidence in Pegasus Airlines as a strategic new owner. “We take great pride in having successfully established and grown Czech Airlines and Smartwings with limited financial resources and without the external support that most airlines typically receive from their respective governments. Throughout these years, we have remained steadfast in our commitment to resilience, innovation, and customer satisfaction, whilst overcoming every challenge on the path to long-term prosperity. We are confident that Pegasus Airlines represents the ideal shareholder for Czech Airlines and Smartwings, one that will bring millions of passengers across its network new benefits, enhanced connectivity, and a continued joy of travel.”
Šimáně added that the founders thank employees, partners and passengers for their role in the airlines’ development. “The management and shareholders extend their sincere gratitude to all employees, partners, and passengers for their loyalty, trust, and contribution to the company’s success. We look forward to seeing Czech Airlines and Smartwings continue to thrive under Pegasus.”
Regulatory clearance will determine the timeline for full integration. Once finalised, the acquisition establishes Pegasus Airlines as a larger competitor in the European low-cost sector, widening network reach and future fleet growth potential. Both companies signal continuity of operations while aiming for increased route variety, cost efficiency and market resilience. The transaction marks a new stage in European airline consolidation as carriers target scale, reliability and wider traveller access.
