“Aegean Airlines and Marfin Investment Group agreed today on the sale of 100 per cent of Olympic Air to Aegean,” the company said in a statement on Monday that also put the value of the deal at 72 million euros.

The deal is subject to approval by the Competition Authorities, a process which will also determine the timing of its execution.

Following the completion of the transaction, Olympic Air will become a subsidiary of the listed Aegean. The acquisition will be paid in installments and the brand names and logos of the two companies will be maintained and each will have distinct aircraft and flight staff.

“The two companies contribute in excess of 270 million euros to the Greek state revenues in airport taxes, fees, social security contributions,” said Aegean chairman Theodoros Vassilakis.

“However, our subscale size, combined with the effects of the unprecedented Greek crisis, restrict our ability to successfully compete within the European and global aviation market, leading us to further losses and further reductions of size and scope. As a result we are faced with the immediate danger of Greek Tourism, an industry essential for the country’s recovery, becoming entirely dependent on foreign carriers with permanent losses in local employment and state revenues,” Vassilakis added.

Greece’s economy is in its fifth year of recession as a result of austerity measures to deal with the crisis. The airlines tried to merge in 2010 but the European Commission blocked the deal on competition grounds.

The new carrier will have a total of 50 aircrafts (21 for Olympic and 29 for Aegean) flying to 115 domestic and international destinations.