On the 28th, Korean Air completed the conditions set forth by the European Union (EU) competition authorities to merge with Asiana Airlines, effectively entering the final stages of the acquisition process. Although the U.S. Department of Justice (DOJ) review is pending, it will be considered approved if no antitrust lawsuit is filed regarding the two companies’ merger. Korean Air has reported the EU’s final approval details to the U.S. DOJ, nearly four years after it first initiated the corporate merger in January 2021.
Once U.S. approval is obtained, Korean Air will have secured approvals from all 14 essential reporting countries for the merger, positioning itself among the world’s top 10 ‘mega carriers.’ The EU competition authorities, the European Commission (EC), announced that all pre-conditions for the merger of Korean Air and Asiana Airlines have been ‘satisfied,’ concluding their review.
Earlier this year, the EU provisionally approved the merger with conditions, which included ensuring stable operations for a new entrant airline (Remedy Taker) on four overlapping routes in Europe (Paris, Frankfurt, Barcelona, and Rome) and approving the buyer for Asiana Airlines’ cargo business. Korean Air selected T’way Air as the new entrant airline for the passenger sector and supported it in various ways, such as providing aircraft, operational crew, and maintenance for the four European routes.
Air Incheon was chosen as the buyer for Asiana Airlines’ cargo business. The Korea Development Bank and government ministries also endeavored to gain the EU competition authorities’ approval.