Delta, Korean Air and Air France-KLM Complete WestJet Investment

In May 2025 some of SkyTeam's most prominent airlines announced that they would be investing in WestJet. The deal is of major importance for the Canadian aviation industry and even more significant for WestJet itself, marking a new chapter in the airline’s evolution. A total of 25% of the airline's equity changed ownership, with the deal closing on October 22nd.

WestJet-SkyTeam, Transaction Officially Closed

All in all, the deal came to a close rather rapidly between Onex Partners, WestJet's parent company, and the SkyTeam leading airlines, Delta Air Lines, Korean Air and Air France-KLM.

The deal was announced on May 5th 2025 closing just under six months later. For those who didn't read the original post regarding the announcement, the deal had Onex Partners sell a 25% stake in WestJet to the four SkyTeam Airlines.

The new equity structure now shows:

Strategic Move for SkyTeam in North America

This is a big and strategic move for the SkyTeam alliance and its presence in North America. Delta Air Lines has been, for some time now, the largest airline in the US and a driving force for SkyTeam and its transatlantic operations.

However, apart from Air France's presence with numerous flights, the alliance didn't have a presence in Canada. That however is somewhat changing. Investing in WestJet is a way of getting a better grip on the Canadian aviation market which for long haul and most transatlantic flights is dominated by Air Canada, which is part of the Star Alliance.

With 3 of the major SkyTeam groups now holding a stake in Canada's second largest airline it is likely that ties and partnerships will strengthen in coming months. Operations might also align with more joint efforts to take over a larger percentage of the Canadian and transatlantic market share.

WestJet’s View — Partnership and Growth

For WestJet this is a major milestone. The airline as a standalone airline without any affiliation meant going head to head with Air Canada on an uneven playing field. Now that playing field is somewhat rebalanced with WestJet backed by Delta, Korean Air and Air France-KLM.

The outlook is undoubtedly more bullish for the Calgary based airline which has already in the past months been very active on expanding its long haul network. Among its newest international destinations is also the home of one of its new investors: Korean Air (flight WS86 from Calgary to Seoul Incheon).

It is easy to speculate how this could be a move towards having WestJet align with SkyTeam and maybe even prepare for an entrance in the ailiance.

Korean Air’s Role and Investment Details

The main focus for most operations out of Canada is the transatlantic market. However it mustn't be understate how important flights to Asia for trade are also.

That's the reason why Korean Air pounced on the opportunity to become WestJet's prime transpacific partner. A 10% equity in the airline is more than just an investment for Korean Air, it's a statement of intents. The Korean carrier invested a remarkable 220 million USD in WestJet.

Korean Air sees Canada as an important market and with a new partner it has the opportunity to tackle it better and challenge Air Canada and Star Alliance's dominant position.

SkyTeam’s Expanding Global Reach

For the time being the investment involves only the leading airlines in SkyTeam investing in a solid carrier based in Canada. However, I wouldn't be at all surprised if somewhere down the line a SkyTeam entrance becomes a topic, therefore cementing the alliance's presence in Canada and clearly stating its intentions.