Share Acquisition Agreement for WestJet's Holding Company Signed in May
Korean Air announced that it has acquired an 11.02% stake and bonds in Kestrel Topco and Kestrel Holdings, the parent companies of WestJet, Canada's second-largest airline, for $217 million (310.9 billion won). This corresponds to a 10% stake in WestJet.
Previously, in May, Korean Air had signed an agreement to acquire shares in WestJet's holding company. With the completion of the closing procedures, the company has now acquired the shares as per the contract. Delta Air Lines and Air France-KLM also participated in this transaction.
Walter Cho, Chairman of Hanjin Group, has been appointed as a director of WestJet. The board of directors includes numerous global aviation experts, such as Benjamin Smith, Chairman of Air France-KLM, and Alex Cruz, former Chairman of British Airways.
With this share acquisition, Korean Air is expected to further solidify its position in the Canadian aviation market, which was the seventh largest in the world last year with a size of $33 billion and has recorded double-digit growth since 2019.
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