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AERL Holding is in receipt of valid acceptances in respect of more than 75% of Aer Lingus shares and the offer is wholly unconditional.
The company was left as kingmaker in the deal after IAG's offer was accepted by Aer Lingus and given the green light by the Irish Government, which owns a quarter of the company, in May.
Mr Kavanagh is a graduate of University College Dublin and joined Aer Lingus in 1988.
The revised proposal remains conditional on, amongst other things, confirmatory due diligence, the recommendation of the board of Aer Lingus and the receipt of irrevocable commitments from Ryanair Limited and the Minister for Finance of Ireland to accept the offer," Aer Lingus said in the statement.
The AER is expected to render its decision on Coalspur s applications for approval of the Vista project within the next 90 days.
The addition of the Newcastle route is part of the 'new beginning' strategy, which was announced by Aer Arann to return the company to profitability in 2014.
Christoph Mueller, Aer Lingus' Chief Executive, said: "This expansion is extremely positive news for Aer Lingus and for the broader economy in terms of business, tourism and employment.
Ryanair boss Michael O'Leary vowed to appeal any final decision that it will have to reduce its stake in Aer Lingus, claiming the initial findings were "bizarre and manifestly wrong".
We are thrilled to see continued investment by AER on this important topic for the insurance industry," said Tim Reinhold, senior vice president of research and chief engineer at IBHS.
Ryanair, who own around 30 per cent of Aer Lingus, vowed to appeal, branding the ruling a "politically inspired prohibition" designed to benefit the Irish government, who own a quarter of Aer Lingus.
Therefore the Commission has expressed fears that the purchase of Aer Lingus by Ryanair would "lead to the elimination of actual and potential competition on a large number of these routes".
Ryanair Holdings (Nasdaq: RYAAY), Europe's largest discount airline, is asking rivals to compete against it in the hopes that increased competition might assuage European Union regulators who are deepening their investigation of Ryanair's proposed buyout of Aer Lingus Group PLC (LON:AERL).
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