Take a look at our newest merchandise
Three main worldwide airways have accomplished a $550 million USD funding in WestJet, buying a mixed 25% stake in Canada’s second-largest service as a part of a strategic transfer to deepen partnerships and increase international connectivity.
The transaction, which closed on October 22, 2025, sees Delta Air Traces holding a 12.7% stake, Korean Air buying 10%, and Air France-KLM acquiring 2.3% of the Calgary-based airline. Canadian funding agency Onex Companions retains majority management with the remaining 75% possession.
Strategic Partnership Funding
Beneath the phrases introduced in Could 2025, Delta initially invested $330 million for a 15% stake, whereas Korean Air paid $220 million for its 10% share. Following the closing, Delta transferred 2.3% of its stake to three way partnership accomplice Air France-KLM for $50 million, bringing Delta’s ultimate possession to 12.7%.
“Investing in a world-class accomplice like WestJet aligns our pursuits and ensures that we stay targeted on offering a world-class international community and buyer expertise for vacationers in america and Canada,” mentioned Delta CEO Ed Bastian. “Collectively, Delta and our airline companions are connecting the world and remodeling the way forward for journey.”
The funding builds on current relationships, as each Delta and Korean Air have maintained codeshare partnerships with WestJet for over a decade. Delta’s partnership with WestJet dates again to February 2011, whereas Korean Air started its alliance in June 2012.
International Community Growth Technique
The acquisition displays a coordinated technique amongst SkyTeam alliance members to strengthen their place within the North American market, significantly towards the Star Alliance’s dominance via Air Canada. All three investing airways, Delta, Korean Air, and Air France-KLM, are core members of the SkyTeam alliance.
“We’re happy to spend money on WestJet as a part of our continued dedication to enhancing transpacific connectivity,” mentioned Walter Cho, Chairman and CEO of Korean Air and Hanjin Group. “This strategic partnership will improve our international community and create long-term worth for purchasers via better selection and comfort.”
The partnership is anticipated to offer enhanced connectivity choices for vacationers throughout North America, Europe, and Asia, leveraging every airline’s community strengths and route protection.
WestJet’s Strategic Place
For WestJet, the funding supplies entry to international experience and sources whereas sustaining its independence below Onex possession. The Canadian service has been increasing its worldwide footprint and not too long ago accomplished its integration with Sunwing Airways in 2025.
“This closing marks a milestone in our airline partnerships, constructing on current relationships and reflecting confidence in WestJet’s technique, efficiency, and other people,” mentioned WestJet CEO Alexis von Hoensbroech. “We’re proud to welcome our new shareholders and to strengthen our alliances to create long-term worth for our visitors.”
WestJet now operates practically 200 plane connecting visitors to greater than 100 locations throughout North America, Central America, the Caribbean, Europe, and Asia, supporting over 14,000 staff following the Sunwing integration.
Onex Partnership Success
The funding represents a major worth creation for personal fairness agency Onex Companions, which has owned WestJet since taking the airline non-public in 2019. The transaction demonstrates the resilience of WestJet’s enterprise mannequin regardless of going through unprecedented challenges through the COVID-19 pandemic.
“Our new companions are extensively thought to be among the many best-performing and most modern airways on the planet,” mentioned Tawfiq Popatia, Head of Onex Companions and Board Director at WestJet. “This funding has created a terrific quantity of worth for Onex Companions and its buyers thus far, together with via the unprecedented headwinds posed by the pandemic.”
Popatia emphasised that Onex appears ahead to persevering with to construct on this success with each new and current shareholders, sustaining the agency’s controlling curiosity whereas benefiting from the strategic partnerships.
Delta’s Funding Sample
The WestJet funding continues Delta’s technique of taking fairness stakes in worldwide companions to deepen relationships and increase international attain. Delta at the moment holds investments in Air France-KLM, LATAM, Aeromexico, Virgin Atlantic, China Jap, and Korean Air’s mother or father firm, Hanjin KAL.
These fairness investments have confirmed efficient in creating stronger partnerships than conventional codeshare agreements alone, permitting for deeper operational integration and coordinated community planning.
Future Collaboration Prospects
Whereas WestJet stays exterior the SkyTeam alliance, the fairness funding opens potentialities for deeper operational cooperation, together with potential joint ventures and enhanced codeshare preparations. The companions have been exploring numerous types of integration, together with transpacific cooperation between WestJet and Korean Air, and potential transatlantic partnerships with Air France-KLM.
The funding positions the companions to develop extra seamless journey experiences, doubtlessly together with reciprocal loyalty program advantages, coordinated scheduling, and built-in reserving platforms.
Trade Context
The WestJet funding displays broader consolidation traits within the international aviation trade, the place airways are searching for partnerships and investments to compete extra successfully towards bigger rivals. The transaction demonstrates how non-public fairness possession can facilitate strategic partnerships whereas sustaining operational independence.
Because the aviation trade continues to get well and evolve post-pandemic, such strategic investments are prone to turn into more and more widespread as airways search to strengthen their international networks and enhance aggressive positioning in key markets.
The profitable completion of this transaction establishes a brand new mannequin for worldwide airline cooperation, combining the advantages of fairness possession with maintained operational independence, doubtlessly setting a precedent for future aviation trade partnerships.
