Airlines expand alliances in defense against competitors
July 31, 2017
Air | Secondary Transaction
Air France-KLM has agreed to acquire a 31% stake in Virgin Atlantic for around £220 million, while Delta and China Eastern Airlines have agreed to acquire twin 10% stakes in Air France-KLM for a total of €751 million. In addition, Air France-KLM, Delta, Virgin Atlantic and Alitalia have agreed to consolidate their various existing partnerships into a single joint venture. The proposed 15-year alliance is designed in part to protect the carriers from cheaper rivals, per Reuters.