TORONTO — International Airlines Group (IAG), parent company of British Airways and Iberia, is moving forward with plans to acquire the assets of struggling low-cost carrier Niki, which opened insolvency procedures in Austria last week.

IAG announced plans last month for a subsidiary of Vueling to buy the Austrian airline’s assets for 20 million euros, plus invest another 16.5 million euros into the company. Niki was part of the airberlin group, which entered liquidation last year.

Germany’s Lufthansa was also in the running to purchase Niki, but withdrew its bid in December.

The IAG transaction is pending approval under EU competition laws. If passed, it will include up to 15 A320 aircraft and include slots at airports like Vienna, Zurich and Munich. IAG says the new company will employ approximately 740 former Niki staff.