Delta Air Lines Acquires 15% Stake in WestJet

Delta Air Lines is acquiring a 15% stake in Canadian carrier WestJet from Onex Partners, a Canadian investor and alternative asset manager.

Delta, which has had a joint venture agreement with WestJet since 2011, will pay Onex $330 million for the stake. Korean Air, another one of WestJet’s codeshare partners, is also acquiring a 10% stake through its own $220 million investment.

After completion of the deal, Delta plans to sell and transfer a 2.3% stake in WestJet to Air France-KLM, another one of its joint venture partners, in exchange for $50 million.

The full transaction will result in Delta holding a 12.7% stake in WestJet, Korean Air holding a 10% stake, and Air France-KLM holding a 2.3% stake, subject to approvals. Onex, which acquired WestJet in a 2019 deal, still owns a majority of the Canadian carrier.

“Investing in a world-class partner like WestJet aligns our interests and ensures that we remain focused on providing a world-class global network and customer experience for travelers in the United States and Canada,” said Delta CEO Ed Bastian.