WestJet Ushers In A New Era Of Global Connectivity With Transformative Investments From Delta And Korean Air

Published on May 12, 2025

WestJet is embarking on a new chapter of global expansion and enhanced connectivity with transformative investments from Delta Air Lines and Korean Air. The two airlines are acquiring a combined 25% equity stake in WestJet, positioning the Canadian carrier to offer passengers an even more seamless and expansive travel experience across North America, Europe, and Asia. These strategic investments strengthen the existing partnerships between WestJet, Delta, and Korean Air, fostering a unified approach to global travel that promises greater connectivity, improved customer service, and increased access to destinations worldwide.

Delta Air Lines and Korean Air are strengthening their strategic partnerships with WestJet by acquiring minority equity stakes in the Canadian airline from Onex Partners. Onex Partners, a private equity platform of the Canadian investment firm Onex, will be the key seller in this transaction, with affiliated funds and co-investors from Onex Group participating as well. This new partnership builds on the long-standing codeshare relationships that Delta and Korean Air have had with WestJet, offering more substantial benefits to customers across North America, Europe, Asia, and beyond.

As per the terms of the agreement revealed today, Delta and Korean Air will collectively secure a 25% equity stake in WestJet. Delta will invest US\$330 million for a 15% share, while Korean Air will allocate US\$220 million to acquire a 10% stake. These investments will deepen their involvement in WestJet’s operations and expand the opportunities for collaboration across global travel networks.

Once the transaction concludes, Delta intends to transfer 2.3% of its acquired stake in WestJet to its Joint Venture partner, Air France-KLM, in exchange for US\$50 million. This separate transaction is contingent on Air France-KLM’s regulatory approval but is expected to further solidify the collaboration among the airlines. Despite this transaction, the Onex Group will retain control and ownership of WestJet, which is based in Calgary, Alberta, ensuring its continued influence over the airline’s operations.

Delta and Korean Air have built strong partnerships with WestJet over the years. Delta first entered a codeshare agreement with WestJet in February 2011, while Korean Air and WestJet have been partnering since June 2012. These enduring alliances have fostered a seamless travel experience for passengers traveling between North America and Asia. The investment will amplify the effectiveness of these agreements, offering smoother connections and more coordinated services between the airlines, thereby benefiting passengers worldwide.

For Delta, this investment is part of a broader strategy to extend its global reach. Celebrating its 100th anniversary, Delta has been serving Canadian passengers for over 90 years and has continuously strengthened its presence in the country. Delta has made strategic investments in various global airline partners, such as Air France-KLM, LATAM, Aeromexico, Virgin Atlantic, China Eastern, and Hanjin KAL, the parent company of Korean Air.
This equity stake acquisition in WestJet represents another step in Delta’s ongoing efforts to reinforce its international partnerships and provide its customers with a more extensive, seamless network.

Similarly, Korean Air’s relationship with WestJet has played a critical role in enhancing transpacific connectivity. Since 2012, Korean Air and WestJet have worked together to offer passengers access to flights between Seoul Incheon and major Canadian cities such as Vancouver, Toronto, and Calgary. The codeshare agreement also allows for onward connections to WestJet’s domestic routes within Canada and the United States, in addition to Korean Air’s extensive network across Asia. The expanded investment will further strengthen these connections, benefiting passengers who travel between North America and Asia, enabling them to access a broader range of destinations with greater ease.

Delta and Korean Air have developed robust partnerships with WestJet over time. Delta began its codeshare agreement with WestJet in February 2011, while Korean Air has been collaborating with WestJet since June 2012. These long-standing alliances have created a smooth and efficient travel experience for passengers journeying between North America and Asia.
These partnerships will support the airlines’ shared goal of enhancing global connectivity and providing a more streamlined travel experience for their passengers. Through these investments, the three airlines will further integrate their networks and offer more comprehensive services for travelers.

Barclays is acting as the financial advisor to both WestJet and Onex on this transaction, ensuring that the deal complies with regulatory requirements and is executed effectively. The agreement is still subject to certain regulatory approvals, but the anticipated benefits for passengers and airlines are already evident. The strengthened partnerships between Delta, Korean Air, and WestJet will lead to expanded travel opportunities, making it easier for passengers to travel between major cities in North America, Europe, and Asia.

In addition to bolstering the airlines’ global network, the expanded partnerships will also allow for a more coordinated approach to customer service, operational efficiencies, and new travel offerings. By building on their existing codeshare agreements, these airlines are setting the stage for improved travel experiences for customers worldwide. As the travel industry continues to evolve, collaborations like these help airlines stay competitive and meet the increasing demands of international travelers.

WestJet is entering a new era of global connectivity with strategic investments from Delta and Korean Air, boosting its reach and enhancing seamless travel across North America, Europe, and Asia. These partnerships will strengthen WestJet’s network, offering passengers expanded travel options and improved services worldwide.

In conclusion, Delta and Korean Air’s investment in WestJet is a significant step forward in their long-standing partnerships with the Canadian airline. Through these investments, both airlines are not only expanding their global reach but are also working together to enhance the travel experience for customers in key markets worldwide. With these strengthened ties, passengers can look forward to more seamless travel options and expanded connectivity between North America, Europe, and Asia. The collaboration between Delta, Korean Air, and WestJet represents a new chapter in global airline alliances, with significant benefits for passengers, airlines, and the broader travel industry.