Delta Air Lines plans to acquire a further 32 per cent in Aeromexico, in a deal valued at $590 million.
The US carrier already has a 4.2 per cent stake, with options to acquire an additional 12.8 per cent. So the new offer gives Delta the option to acquire 49 per cent of the national carrier.
"This is the next step in expanding our longstanding relationship with Aeromexico, a partnership built on our shared commitment to our customers in the U.S. and Mexico,” said Ed Bastian, Delta’s CEO. “The tender offer and investment will further strengthen the relationship that will be established when our joint cooperation agreement is implemented in the second quarter.”
Delta and Aeromexico launched their first codeshare in 1994. In 2011, Delta entered into an enhanced commercial agreement with Aeromexico, and in 2012, Delta invested $65 million in shares of Grupo Aeromexico, the parent company of Aeromexico.
Late last year, both airlines accepted conditions from the US department of transport for antitrust immunity allowing them to establish a joint venture agreement.