Delta, Korean Air, and Air France-KLM Take 25% WestJet Stake

(CANADA) Delta Air Lines, Korean Air, and Air France-KLM have closed a combined investment for a 25% minority stake in WestJet as of October 22, 2025, concluding a deal first announced in May. Delta holds 12.7%, Korean Air 10%, and Air France-KLM 2.3%. The transaction totals about US$550 million, with Delta investing US$330 million, Korean Air US$220 million, and Air France-KLM acquiring its share for US$50 million transferred from Delta. The shares were purchased from Onex Partners, which remains WestJet’s controlling shareholder with 75% ownership and control. WestJet continues to operate independently from its Calgary headquarters under Onex’s leadership.

Strategic rationale and executive comments

The three carriers say the move builds on long-running commercial ties, including codeshare and reciprocal benefits, to expand flight options across North America, Europe, and Asia. Executives framed the stake as a way to align incentives, deepen cooperation, and deliver more seamless trips for cross-border travelers.

• Delta CEO Ed Bastian: investment “aligns our interests and ensures that we remain focused on providing a world-class global network and customer experience for travelers in the United States and Canada.”
• Korean Air’s Walter Cho: partnership creates “greater choice and convenience.”
• WestJet board director Tawfiq Popatia: the deal has “created a terrific amount of value for Onex Partners and its investors,” despite pandemic-era shocks.

Network benefits and passenger experience

At the deal’s core is network reach. Each partner brings complementary strengths:

• WestJet: strong domestic and transborder coverage from Western Canada and growing widebody service.
• Delta: vast U.S. footprint and premium corporate sales channels.
• Korean Air: major Asian gateways and transpacific capacity.
• Air France-KLM: European depth via Paris and Amsterdam hubs.

By tightening schedules and coordinating sales (within regulatory limits), the partners aim to:

• Make itineraries simpler and reduce misconnects.
• Speed reaccommodation when flights change.
• Enable more single-ticket bookings and coordinated baggage handling.
• Improve chances of same-day alternatives during disruptions.

Practical traveler impact: single-ticket bookings, coordinated baggage, and fewer missed connections—provided document checks and border rules are satisfied at check-in.

Immigration and travel-document implications

For immigration-focused readers, the immediate effects are practical, not legal. The deal:

• Does not change U.S. or Canadian entry rules or visa categories.
• Can change trip planning, especially for multi-region connections (faster hubs, timed banks of flights).

Travelers should still check entry documents well before booking. Many non-Canadian travelers heading to or through Canada may need an eTA (Electronic Travel Authorization) or a visitor visa, depending on nationality and travel mode. IRCC’s rules still apply at check-in and boarding. Details are on IRCC’s official eTA page. For U.S.-bound segments, travelers must follow U.S. entry rules as usual. Airlines may coordinate flights, but each carrier must still confirm document compliance at departure gates.

What the deal changes for travelers

• More one-stop options: smoother access to Delta’s U.S. destinations, Air France-KLM’s European network, and Korean Air’s Asian routes—potentially cutting connection time and reducing overnight layovers.
• Better through-ticketing: broader availability of single-ticket itineraries, including checked-through baggage and coordinated customer service during delays (within each carrier’s systems).
• Frequent flyer alignment: no specific changes announced, but expect potential expansion of reciprocal earning, redemption, and status benefits over time.
• Schedule banks and rebooking: coordinated hubs can speed reaccommodation when disruptions occur, increasing chances of same-day alternatives.

For immigration-related travel—new arrivals, work permit holders, students, and families—the improved timing and simpler connections can reduce stress and cost when aligning travel with landing interviews, school registrations, or job start dates.

Ownership and regulatory context

The ownership structure remains straightforward:

This balance keeps control within Canadian hands, a factor policymakers typically weigh in deals involving foreign investors. The new shareholders are strategic partners, not controlling owners; their interests center on network synergies rather than corporate control. WestJet’s headquarters, branding, and executive leadership remain in Calgary.

How this fits Delta’s broader strategy

The investment aligns with Delta’s playbook of taking minority stakes to align incentives with partners without full mergers. Delta already holds similar positions in partners such as Air France-KLM, LATAM, Virgin Atlantic, Aeromexico, and China Eastern. For WestJet, closer ties can bring additional feed traffic and access to joint marketing; for Korean Air and Air France-KLM, the stake provides a stronger bridge into Canadian markets.

Regulatory and workforce implications

Although commercial in nature, the deal touches policy and labor considerations:

• Competition and connectivity: pairing WestJet’s domestic/transborder strength with global partners could increase competition on some long-haul flows and widen choices—especially for travelers outside Toronto.
• Workforce: independent operation under Onex means WestJet’s labor agreements and Canadian employee base remain intact. More flights and higher load factors could support staffing and training needs in Canada (pilots, cabin crew, ground handlers, reservation agents).
• Basing and operations: no new basing decisions were announced; those remain WestJet leadership prerogatives.

Costs and competition will still reflect fuel, demand, and capacity. Consumers should compare fares, including non-allied rivals. In some markets, stronger WestJet-partner presence could trigger competitive responses (new flights or promotions).

Regional impacts and examples

• Students and workers from Asia: Korean Air links via Seoul can shorten journeys to Canadian cities served by WestJet—reducing jet lag risk and missed orientations or onboarding.
• Travelers from Europe: Air France-KLM’s hubs (Paris-Charles de Gaulle, Amsterdam Schiphol) enable broad one-stop access into Calgary and other WestJet gateways.
• U.S.–Canada cross-border trips: Delta’s stake can bring more daytime choices, useful for interviews, meetings, or family visits.

Practical tips for travelers

• Book a single-ticket itinerary across partners when possible to help ensure baggage is checked through and rebooking is coordinated.
• Check document needs early. Canada-bound passengers from visa-required countries should confirm eTA or visa requirements on IRCC’s website well before travel.
• Leave buffer time at the first point of entry to clear immigration and customs, even with a protected connection.
• Watch loyalty program updates. Earning and redemption rules can change as partnerships deepen; align bookings with the program that benefits you most.

Bottom line

Minority equity stakes remain a popular way for large carriers to tie networks closer without merging. They can deliver many alliance-like customer benefits—more routes, simpler bookings—while keeping corporate control local. In this case, Onex Partners remains in charge of WestJet while the three airlines gain a financial reason to improve the joint customer journey.

The transaction is complete and the ownership table is set. If cooperation delivers reliable schedules and fair pricing, the winners could be families reuniting across oceans, budget-constrained students, and workers whose moves depend on reachable flights. The equity numbers—12.7%, 10%, and 2.3%—tell one part of the story. The rest will be told at airport gates, where a smooth handoff between carriers often matters more than any balance sheet.