American Airlines announced today it has signed a definitive investment agreement with Brazil’s largest airline Gol. The partnership involves an investment of $ 200 million in the Brazilian company.
The agreement, announced on a preliminary basis in September, involves an expansion of commercial relations between the companies, with an exclusive codeshare agreement, in addition to the acquisition of a 5.2% stake in Gol by American Airlines through the issuance of 22.2 million new preferred shares by Gol.
With the union, the companies should create the largest network of flights available in the Americas. The combined networks of the two airlines will offer more than 30 US destinations and 34 different flights across South America. The companies will also combine their loyalty programs.
The closing of the transaction, including the issuance and payment for the new preferred shares, is subject to conditions, such as approval by the Brazilian Administrative Council for Economic Defense (Cade).
(Translated by LABS)