Korean Air successfully completed its long-anticipated acquisition of Asiana Airlines after four years of negotiations, solidifying its position as a dominant player in the airline industry. The announcement was made on December 12, 2024, when Korean Air acquired a significant ownership stake of 63.88% in Asiana Airlines by purchasing 131,578,947 newly issued shares. This move officially made Asiana Airlines a subsidiary of Korean Air.

In a strategic move to enhance operational efficiency and network optimization, Korean Air plans to integrate Asiana Airlines within the next two years. This integration strategy includes streamlining flight schedules on overlapping routes, expanding services to new destinations, and making significant investments in safety measures. The ultimate goal of this merger is to boost the competitiveness of the national aviation industry, fortify Incheon Airport’s hub capabilities, and extend the global network reach of both airlines.

As part of the integration process, Korean Air is set to appoint new board directors for Asiana Airlines through an extraordinary general meeting of shareholders scheduled for January 16, 2025. The airline has assured that the integration will not involve any workforce restructuring, with a focus on natural staff growth resulting from business expansion. Employees with overlapping roles will be reassigned within the organization to ensure a smooth transition.

To ensure transparency and regulatory compliance, the integrated frequent flyer program framework will be submitted to the Korea Fair Trade Commission by June 2025, with program details to be communicated to customers post regulatory approval.

The takeover plan was first unveiled in November 2020 by the Hanjin Group, a notable South Korean conglomerate with interests in various sectors including transportation, airlines, hotels, and tourism. Since then, Korean Air has been working diligently to secure approvals from competition authorities globally. While the acquisition plan has been greenlit by numerous competition authorities, including the Korea Fair Trade Commission, it is still pending review by the US Department of Justice.

This acquisition marks a significant milestone in Korean Air's growth trajectory and sets the stage for a new era of enhanced services and expanded offerings for passengers flying with these two leading airlines. Stay tuned as Pilotcenter.net News continues to cover this evolving story.