WestJet Gets $550M Investment from Delta, Korean Air & Air France-KLM
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In October 2025, three major SkyTeam airlines—Delta, Korean Air, and Air France-KLM—completed a $550 million investment acquiring 25% of WestJet. This strategic partnership could reshape Canadian aviation and open new opportunities for cross-border travelers.
Who invested in WestJet and how much?
Three SkyTeam airline groups purchased equity stakes in WestJet from Onex Partners in a deal worth approximately $550 million:
- Delta Air Lines: 12.7% stake ($330 million initial investment)
- Korean Air: 10% stake ($220 million)
- Air France-KLM: 2.3% stake ($50 million from Delta transfer)
The transaction closed on October 22, 2025, after being announced in May 2025. Onex Partners retains controlling ownership with 75% of WestJet.
Why did Delta invest in WestJet?
This investment aligns with Delta’s proven strategy of acquiring equity stakes in key partner airlines. Delta owns shares in Air France-KLM, LATAM, Virgin Atlantic, and China Eastern.
Investing in a world-class partner like WestJet 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.
– Ed Bastian, Delta CEO
Delta and WestJet previously pursued a transborder joint venture that was ultimately abandoned due to regulatory concessions. However, WestJet maintained “preferred partner” status with Delta, suggesting this investment was long-planned.
What does this mean for WestJet’s route network?
WestJet recently ordered additional Boeing 787-9s and 737 MAX 10s, signaling expansion plans. With backing from Delta, Korean Air, and Air France-KLM, expect:
- More flights to Delta hubs (Atlanta, Minneapolis, Seattle, Detroit)
- Expanded service to Seoul Incheon and Paris Charles de Gaulle
- New routes from Canadian cities beyond Calgary
- Enhanced long-haul international service
- Better connections for travelers between North America, Europe, and Asia
Will WestJet join the SkyTeam alliance?
While all three investing airlines are SkyTeam members, WestJet joining the alliance isn’t guaranteed. Delta’s track record shows mixed results:
- LATAM: Left oneworld after Delta’s investment but never joined SkyTeam
- Virgin Atlantic: Remains unaligned despite Delta’s 49% ownership
- Air France-KLM: Full SkyTeam member with Delta partnership
The investment does position WestJet for closer SkyTeam collaboration without requiring formal alliance membership.
How this affects Canadian travelers and points earning
This partnership creates several opportunities for Canadian travelers, especially those frequently crossing the U.S.-Canada border:
Enhanced Connectivity
- Smoother connections between WestJet and Delta/Korean Air/Air France-KLM flights
- Coordinated schedules for seamless transfers
- Expanded codeshare opportunities across all four airlines
Loyalty Program Implications
While formal reciprocal benefits aren’t announced yet, the partnership could lead to:
- WestJet Rewards members earning miles on partner airlines
- Elite status recognition across the partnership
- Coordinated loyalty program benefits for frequent flyers
- Potential integration with SkyTeam programs
What Korean Air and Air France-KLM bring to the partnership
“We are pleased to invest in WestJet as part of our continued commitment to enhancing transpacific connectivity. This strategic partnership will enhance our global network and create long-term value for customers through greater choice and convenience.”
– Walter Cho, Korean Air CEO
Korean Air’s investment strengthens Canada-Asia connections, particularly important given WestJet’s existing Seoul route. Air France-KLM’s participation, while smaller at 2.3%, leverages CEO Ben Smith’s board position since 2021 and enhances European connectivity.
Impact on Air Canada competition
This investment significantly strengthens WestJet’s position against Air Canada’s Star Alliance dominance. The Canadian aviation landscape now shows clear alliance splits:
| Canadian Airline | Alliance/Partnership | Key International Partners |
|---|---|---|
| Air Canada | Star Alliance | United, Lufthansa, Swiss |
| WestJet | SkyTeam-aligned | Delta, Korean Air, Air France-KLM |
| Porter Airlines | oneworld-aligned | American Airlines partnerships |
Timeline and next steps
The investment completed on October 22, 2025, but operational changes will roll out gradually:
- Immediate: Enhanced codeshare coordination
- 2025-2026: New route launches to partner hubs
- 2026+: Potential loyalty program integration
- Long-term: Possible SkyTeam membership decision
Bottom line
The $550 million investment by Delta, Korean Air, and Air France-KLM in WestJet represents a major shift in Canadian aviation. For travelers, this means better connectivity between Canada, the U.S., Europe, and Asia through coordinated schedules and expanded route networks.
While WestJet’s SkyTeam membership remains uncertain, the partnership positions the airline as a stronger competitor to Air Canada’s Star Alliance network. Canadian travelers, especially those frequently crossing borders or managing business between the U.S. and Canada, should benefit from enhanced options and potentially improved loyalty program reciprocity.
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Source: WestJet Press Release, October 22, 2025
Frequently Asked Questions
How much did Delta, Korean Air, and Air France-KLM pay for WestJet shares?
The three airlines invested approximately $550 million total. Delta paid $330 million for an initial 15% stake, Korean Air paid $220 million for 10%, and Air France-KLM acquired 2.3% for $50 million through a transfer from Delta.
Will WestJet join the SkyTeam alliance?
While possible, it’s not guaranteed. Delta’s previous investments in LATAM and Virgin Atlantic didn’t result in SkyTeam membership. WestJet may benefit from SkyTeam partnerships without formal alliance membership.
What routes might WestJet add with this partnership?
Expect expanded service to Delta hubs (Atlanta, Minneapolis, Seattle), more flights to Seoul and Paris, and new routes from Canadian cities beyond Calgary. WestJet’s recent Boeing aircraft orders support this expansion.
Can I earn WestJet Rewards miles on Delta flights now?
Formal reciprocal earning hasn’t been announced yet, but enhanced partnership benefits are expected. Current codeshare agreements already allow some mileage earning on partner flights.
Who controls WestJet after this investment?
Onex Partners retains controlling ownership with 75% of WestJet. The airline partners hold minority stakes: Delta 12.7%, Korean Air 10%, and Air France-KLM 2.3%.
How does this affect competition with Air Canada?
This significantly strengthens WestJet’s global network to compete with Air Canada’s Star Alliance partnerships. Canadian travelers now have stronger SkyTeam-aligned options for international travel through WestJet.
