SCHIPHOL - Air France-KLM is in talks about buying a 20 percent stake in the Spanish airline Air Europa, the Spanish business newspaper El Economista reported. According to the newspaper, a deal would involve over 100 million euros, and no European approval is required for the transaction. 

These talks follow a failed attempt by British Airways parent IAG to acquire Air Europa this past summer. The takeover plans met with resistance from European competition authorities. IAG already owns the Spanish airlines Iberia and Vueling and Brussels did not like the idea of adding Air Europa to that list. 

A spokesperson for the Franco-Dutch airline group would not comment to Reuters on a possible acquisition. The representative did confirm that the sides were discussing their relationship within the SkyTeam alliance, which Air Europa joined in 2007. 

Shares in Air France-KLM fell by nearly two percent in morning trading on the Euronext Paris exchange. The stock price was at 7.342 euros just before 11:30 a.m.