SkyTeam members Delta Air Lines, Air France-KLM and Korean Air have completed the acquisition of a 25% stake in Canadian operator WestJet.
The deal – first announced in May – sees Delta take a 15% stake, while Korean takes a 10% shareholding from WestJet parent Onex Partners, a Canadian private equity firm.
In turn, Delta has also transferred 2.3% of its stake to joint-venture partner Air France-KLM.
The value of the total deal is not disclosed by WestJet, though Korean in a separate statement confirms that its 10% stake is valued at around $217 million.
The Seoul-headquartered carrier adds that its chief executive Walter Cho has been appointed to WestJet’s board of directors, which also includes Air France-KLM chief Ben Smith
Delta, Korean Air, Air France and KLM, all members of the SkyTeam alliance, already have codeshare deals with WestJet, which is not a SkyTeam partner.
WestJet chief Alexis von Hoensbroech says: “This closing marks a milestone in our airline partnerships, building on existing relationships and reflecting confidence in WestJet’s strategy, performance and people.”
The deal caps off a long-running effort by Air France-KLM, Delta, Korean and WestJet to tighten ties.
For years, the carriers had sought to form joint ventures: WestJet had talked of forming transpacific and North American ventures with Delta, a transpacific venture with Korean and a transatlantic one with Air France-KLM.
