RyanairBudget airline Ryanair has mounted a fresh bid to seize control of its rival Aer Lingus by tabling an offer valuing the company at 694 million euros (£559.6 million).

Ryanair, which owns a 29.8% stake in its rival, aims to boost the Aer Lingus' passenger numbers by 4.5 million to 14 million over the next five years by forming "one strong Irish airline" to compete with major European players.

A previous takeover attempt in 2006 was rejected by regulators but Ryanair said consolidation and the economic downturn had since left Aer Lingus "exposed as a small and uncompetitive airline".

Ireland's opposition party, Fianna Fail, called on the Irish Government to use its shareholding in Aer Lingus to prevent Ryanair from taking control of the airline.

Transport spokesperson Timmy Dooley said: "The existence of Ryanair and Aer Lingus as separate competing entities has transformed our tourism and business connectivity.

"Any material change to the separate status of these airlines would inevitably lead to reduced competition, increased fares and less choice.

"Ryanair has provided good competition in the Irish market for many years.

"Its business model has resulted in cheaper fares and helped grow the Irish tourism market.

"What we don't want is to see a reversal of this position."

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