TBM Staff - Mumbai Korean Air is preparing to complete its long-awaited acquisition of a controlling stake in Asiana Airlines next week, finalising a merger between South Korea’s two leading carriers that has been under negotiation for four years.
The airline will invest approximately 1.5 trillion won (USD 1.07 billion) through a third-party share issuance by Asiana Airlines. This move will secure Korean Air a 63.9% stake, amounting to 131.57 million new shares, effectively making Asiana its subsidiary.
The merger was initially announced in November 2020 and has since received approvals from 13 of 14 international competition authorities. The U.S. Department of Justice (DOJ) is the only pending review. If the DOJ does not file objections by December 11, the merger will automatically gain approval under U.S. law.
Korean Air has collaborated extensively with regulators, including those from the European Union and the U.S., to address antitrust concerns. This merger is expected to strengthen the competitiveness of South Korea’s aviation sector in the global market.
