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aws全区号( gives the green light to airline merger



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Korean Air expects the latest approval to help speed up its process to acquire Asiana Airlines.

SEOUL: Korean Air Lines Co said yesterday it has received regulatory approval from Vietnam for its integration with smaller local rival Asiana Airlines Inc, Yonhap reported

Korean Air expects the latest approval to help speed up its process to acquire Asiana Airlines.

In January, Korean Air submitted documents to anti-trust regulators of 14 countries for the review of its business combination with Asiana.

As of yesterday, it had received approvals from six countries – Vietnam, Thailand, Turkey, Taiwan, Malaysia and the Philippines – while awaiting the go-ahead from eight countries, South Korea, China, Japan, Britain, Australia, Singapore, the European Union and the United States, a company spokesman said.

Korean Air, currently the world’s 18th largest airline by fleet, will become Asiana’s biggest shareholder with a 63.9% stake if the acquisition is completed.

The nation’s two full-service carriers account for a combined 40% of passenger and cargo slots at Incheon International Airport, South Korea’s main gateway, below the level that constitutes a monopoly.

Korean Air said it aims to launch a merged entity with Asiana in 2024 after completing a takeover process by next year, vowing to streamline their routes and reduce maintenance costs.

The two airlines have suspended most of their flights on international routes since March 2020, as countries have strengthened their entry restrictions to stem the spread of the Covid-19 pandemic. — The Korea Herald/ANN



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