Aekyung, Stonebridge team up for Asiana Airlines bid

Aekyung Group said Monday that it is forming a consortium with Stonebridge Capital to acquire Asiana Airlines.

The group, which already operates the country’s largest budget airline Jeju Air, and private equity firm Stonebridge Capital, had both been selected as shortlisted bidders for Asiana Airlines last month. Aekyung will be the strategic investor in the consortium, and the private equity firm will be the financial investor.

There were four shortlisted bidders including a consortium of HDC Hyundai Development and Mirae Asset Daewoo and a consortium of Korea Corporate Governance Improvement and private equity firm BankerStreet.

The new consortium said they will work toward becoming the preferred bidder for airline. The bid is scheduled for Nov. 7.

Aekyung said there hasn’t been any case where a company with no experience in operating an airline has acquired an air carrier, in a statement Monday, adding that it acquiring Asiana is the only way to bolster the competitiveness of Korea’s airline industry.

By Kim Jee-hee