Qantas pulls out of Alliance Aviation acquisition
Qantas has announced it will no longer go ahead with the acquisition of Alliance Aviation Services Ltd.
The competition regulator formally opposed the deal in April 2023,…
Qantas has announced it will no longer go ahead with the acquisition of Alliance Aviation Services Ltd.
The competition regulator formally opposed the deal in April 2023, despite both companies arguing it would have created customer value without lessening competition.
The companies believed the acquisition would have created benefits to the competitive resources sector through the efficiencies created with a combined F100 aircraft fleet.
Both companies have acknowledged that there is no path forward for the deal. Qantas will continue to serve the resources sector through its existing charter operations. It will also keep its 20% Alliance shareholding.
Alliance will continue to operate up to 30 E190s for the airline as part of its long-term agreement.
Qantas will exercise options over four additional aircraft under that agreement. These aircraft will to join the airline’s fleet from April 2024.
John Gissing, Qantas Group executive of associated airlines and services, said, “Alliance is an important partner and the E190s have helped us open new routes across Australia. These four new aircraft will provide extra capacity and connectivity in the domestic market.”
Scott McMillan, Alliance managing director, added, “Despite the outcome of the transaction, we look forward to continuing our long-standing and productive relationship with Qantas.”
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