Lufthansa's bid to buy a stake in Italian peer ITA is set to be blocked by EU antitrust regulators unless there is a substantial improvement to remedies to address competition concerns, people with direct knowledge of the matter have said.

Daily Memo: Lufthansa Says Yes To Europe, But Will Europe Say Yes To ITA Deal? is published in Aviation Daily, an Aviation Week Intelligence Network (AWIN) Market Briefing and is included with your AWIN membership. Already a member of AWIN or subscribe to Aviation Daily through your company? Login with your existing email and password

The Italian economy ministry said Tuesday that it and Lufthansa have submitted the remedies requested by the European Commission for the green light for the German carrier's acquisition of a 41% stake in Italy's ITA Airways.

The long-running attempt by Lufthansa to acquire a stake in the state-owned Italian airline Ita took another possible step forward today, as the parties