The airline will take an 80% share of the UK company by buying the 50% owned by BMI chairman Sir Michael Bishop for £318 million.
The move was welcomed by Virgin Atlantic, who said the deal could allow a BMI alliance between the two companies to rival competitor British Airways.
The deal is expected to be completed by mid-January. It will give Lufthansa control of more flights from London Heathrow airport than any other airline except British Airways.
source: Sky News