Korean Air and Delta Air Lines Strengthen Their Partnerships with WestJet Through Strategic Equity Investments
(IN SHORT) Korean Air and Delta Air Lines have announced their purchase of minority equity stakes in WestJet, strengthening their existing partnerships with the Canadian airline. Delta will invest US$330 million for a 15% stake, while Korean Air will invest US$220 million for 10%. These investments, which build on years of codeshare partnerships, are expected to improve connectivity and offer greater benefits to customers traveling between North America, Europe, and Asia. The agreements also include Delta’s option to sell part of its stake to Air France-KLM. Onex Group will continue to control WestJet.
(PRESS RELEASE) SEOUL, 2025-May-9 — /Travel PR News/ — Korean Air and Delta Air Lines have announced their strengthened partnerships with WestJet through the purchase of minority equity stakes in the Canadian airline from Onex Partners, part of Onex Group, a Canadian investor and asset manager. Onex Group’s affiliated funds and co-investors will also participate in this transaction, which aims to enhance the benefits of existing partnerships with WestJet for customers across North America, Europe, Asia, and beyond.
As part of the agreement, both Korean Air and Delta will acquire a combined 25% stake in WestJet, with Delta investing US$330 million for a 15% stake, while Korean Air will invest US$220 million for a 10% stake. In addition, Delta will have the right to sell a 2.3% portion of its stake to Air France-KLM, another partner of WestJet, for US$50 million, subject to Air France-KLM’s approval. Following the transaction, Onex Group will retain control of WestJet, headquartered in Calgary, Alberta.
The partnership between Korean Air, Delta, and WestJet is an expansion of their longstanding codeshare agreements. This investment is expected to provide a more seamless travel experience and increase benefits for travelers, enhancing connectivity between North America, Asia, and Europe.
“We are excited to invest in WestJet as part of our ongoing commitment to improving transpacific connectivity,” said Walter Cho, Chairman and CEO of Korean Air and Hanjin Group. “This strategic investment will improve our global network and offer greater choice and convenience to our customers.”
Delta CEO Ed Bastian commented, “Investing in WestJet strengthens our partnership and ensures that we continue to provide a world-class network and exceptional travel experiences for customers in both the U.S. and Canada.”
Tawfiq Popatia, Co-Head of Onex Partners, added, “Delta, Korean Air, and Air France-KLM are some of the best-managed and most prominent airlines globally. We are thrilled to welcome them as shareholders of WestJet.”
WestJet CEO Alexis von Hoensbroech said, “This investment and the expanded partnerships are a testament to our people and our outstanding performance, especially during a challenging time for the aviation industry.”
Since June 2012, Korean Air and WestJet have been partners, strengthening their transpacific connectivity through a codeshare agreement that allows travelers to seamlessly travel between Seoul Incheon and Vancouver, Toronto, and Calgary, with further connections across both airlines’ networks. Delta and WestJet’s partnership dates back to 2011, further enhancing travel options for customers across North America.
Barclays acted as the financial advisor to WestJet and Onex Partners in this transaction, which is subject to regulatory approval.
SOURCE: KOREAN AIR
