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South Korea/Czech Republic: Korean Air boost stake in Czech Airline

 |  December 8, 2013

South Korea has reportedly informed Czech Aeroholding of the South Korean airline’s plans to acquire an additional 34 percent of Czech Airline currently owned by Czech Aeroholding.

According to reports, Korean Air signed a deal to acquire 44 percent of Czech Airline last April, a deal that included Korean Air’s option to acquire more of the Czech firm from Czech Aeroholding.

Following the acquisition, Korean Air said it will sell 34 percent of Czech Airline to carrier Travel Service, which will become a co-shareholder in Czech Airlines.

In addition to Czech Aeroholding, Korean Air and Travel Service, Ceska Pojistovna holds a 2.26 percent stake in Czech Airline.

The acquisition is part of Korean Air’s efforts to establish Prague as its European epicenter; the introduction of Travel Service in the partnership will reportedly boost Korean Air’s connections in Europe by 40 destinations.

Full Content: Centre for Aviation

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