Korean Air completed its acquisition of Asiana Airlines on November 16, 2020, four years after announcing the majority stake purchase from its rival.

The South Korean flag carrier said it acquired 131,578,947 newly issued shares of Asiana Airlines on December 12, representing a 63.88% ownership and making Asiana Airlines a subsidiary of Korean Air.

The completion follows Korean Air's payment of KRW 800 billion (approximately US$552 million) to Asiana Airlines on December 11, concluding the share purchase transaction.

This brings the total investment through the third-party allotment capital increase to KRW 1.5 trillion (US$1 billion), including the previously paid deposit of KRW 300 billion (US$207 million) and interim payment of KRW 400 billion (US$276 million).

Korean Air said it plans to complete the integration with Asiana Airlines within two years.

It added that the integration strategy includes network optimization through diversified flight schedules on overlapping routes, service expansion to new destinations and enhanced safety investments.

"The merger aims to strengthen national aviation industry competitiveness, enhance Incheon Airport's hub capabilities and expand global network reach," Korean Air added.

The South Korean flag carrier noted that the integration will proceed without workforce restructuring — pointing out that the combined organization projects natural staff growth through business expansion, with employees in overlapping functions being reassigned within the organization.

Korean Air said the acquisition represents a strategic milestone for Korea's aviation industry.

"Korean Air will proceed to implement measures to strengthen the country’s aviation capabilities and enhance its competitive position in the global market," the airline said.

It added that Asiana Airlines will hold an extraordinary general meeting of shareholders on January 16 to appoint new board directors nominated by Korean Air.

In late November, Korean Air announced that the European Commission had given its final approval for its proposed merger with Asiana Airlines. It said then that it has submitted the European Commission's (EC) final approval to the US Department of Justice and plans to complete the transaction by December 2024.

In February 2024, the EC granted conditional approval subject to two key requirements: ensuring stable operations of a remedy carrier on four overlapping European routes (Barcelona, Frankfurt, Paris and Rome) and the divestiture of Asiana's freighter business.

Korean Air has designated T'way Air as the remedy carrier for the European routes, and it has committed to providing operational support, including aircraft, flight crew, and maintenance services. Air Incheon has also been earlier approved as the purchaser of Asiana Airlines' freighter business.

The freighter business will be sold for KRW 470 billion won (US$342 million) in a deal that will likely make Air Incheon, a relatively smaller cargo airline, South Korea's second-biggest freight carrier.