Korean Air has completed its acquisition of Asiana Airlines, four years after announcing its decision in 2020.
The airline acquired enough newly-issued shares of Asiana Airlines to give it a 63.88% ownership stake. This makes Asiana Airlines a subsidiary of Korean Air.
Korean Air made a payment of KRW 800 billion to Asiana Airlines, which brings the total investment through third-party allotment capital increase to KRW 1.5 trillion. This includes the previously paid deposit of KRW 300 billion and interim payment of KRW 400 billion.
Asiana Airlines will hold a general meeting of shareholders to appoint new board directors nominated by Korean Air on January 16 2025.
The integration is expected to be completed within two years. Its strategy will involve network optimisation through diversified flight schedules on overlapping routes, service expansion to new destinations and enhanced safety investments.
The merger aims to strengthen national aviation industry competitiveness, enhance Incheon Airport’s hub capabilities and expand global network reach.
There will be no workplace restructuring.
An integrated frequent flyer programme framework will be submitted to the Korea Fair Trade Commission by June 2025.
