Pegasus Airlines (Istanbul/PGSUS) has completed its acquisition of Czech Airlines and Smartwings Group, the Turkish low-cost carrier said on October 1.

The transaction marked the first international expansion by Istanbul-based Pegasus, launched in 1990 and acquired by venture capital investor Esas Holding (owned by Ali Sabanci, a member of the Sabanci family who owns Sabanci Holding (Istanbul/SAHOL)) in 2005.

The combined fleet stands at 175 aircraft and Pegasus has already existing orders in place for an additional 140 aircraft.

Following the acquisition by Esas, Pegasus adopted a low-cost business model. Today, it operates flights to 161 destinations (comprising 39 domestic and 122 international destinations) across 57 countries.

Its primary hub is at Istanbul Sabiha Gokcen Airport on the Anatolian side of the city. It carried 43mn passengers in 2025, extending its own record.

Prague-based Smartwings Group, a leisure carrier, and the Czech Airlines (CSA) brand, launched in 1923, form one of the longest-standing airline groups in Central and Eastern Europe (CEE) region with a network of 80 destinations across 20 countries.

Smartwings will continue to operate under its two brands, Smartwings and Czech Airlines.

Smartwings, launched in 1998, is the largest Czech airline and a member of the Smartwings Group, which also operates Smartwings Poland, Smartwings Slovakia and Smartwings Hungary.

Smartwings Group operates scheduled services, charter flights and business-jet category private flights. It also provides a wide range of special flights for international corporations and global humanitarian and athletic organisations. Its aircraft currently serve 311 airports around the world.

In December, Pegasus said that it agreed to acquire Smartwings for €154mn. On October 1, it said in a stock exchange filing that it has paid €142mn, indicating the total transaction value including the receivables assigned for the group's debt owed to previous shareholders, in cash for a full stake in the Smartwings Group.