Delta Air Lines has increased its stake in Aeromexico’s parent company to 36.2 per cent with the option of going up to 49 per cent.
Delta acquired 228 million shares representing 32 per cent of the outstanding shares in Grupo Aeromexico and 39.8 per cent of shares tendered in the tender offer for $620 million.
It now owns 36.2 per cent of outstanding shares in Grupo Aeromexico and holds options to acquire an additional 12.8 per cent.
Delta chief executive officer, Ed Bastian says: “We are pleased to successfully complete the tender offer. This is yet another milestone that strengthens the Delta- Aeroméxico relationship as we move toward implementing our joint cooperation agreement in the second quarter.”
The two airlines launched their first codeshare in 1994 and Delta invested $65 million in shares in Grupo Aeromexico in 2012.
They entered a joint cooperation agreement relating to US – Mexico flights in March 2015, which has been reviewed by authorities in the US and Mexico and will be implemented in the second quarter.