Ireland-based budget airline Ryanair has been unsuccessful in its appeal against the European Commission's decision to block its takeover bid for rival Aer Lingus.

The carrier has not ruled out a future approach for Aer Lingus, despite the European Court of Justice (ECJ) upholding the commission's 2007 ruling that vetoed a €1.48bn (£1.24bn) bid for Ireland's flag carrier. However, the ECJ has found in favour Ryanair after a separate challenge by Aer Lingus called for the budget carrier to be forced to give up its 29.8 per cent stake in the national airline.

Ryanair chief executive Michael O'Leary said: "We welcome today's ruling of the EU General Court which confirms that Ryanair can not be forced to dispose of its 29.8 per cent shareholding in Aer Lingus. "We note the Court's decision on our appeal against the EU Commission's ruling on our 2006 offer for Aer Lingus. This will not prevent Ryanair making a future offer for Aer Lingus, but obviously any such offer will have to take account of the court's detailed ruling."