South Korea’s Air Incheon is preferred bidder for Asiana cargo unit

SEOUL :South Korean budget airline Air Incheon is mainly the most standard bidder to aquire Asiana Airlines’ cargo enterprise, Korean Air stated on Monday, paving the come for a final bound-forward from the EU rivals regulator of a Korean Air-Asiana merger.

Korean Air, South Korea’s splendid provider, is determined to aquire nearly two-thirds of Asiana for roughly $1.4 billion, however anti-belief authorities from the European Union stipulated that Asiana’s cargo enterprise has to be sold sooner than they’ll give a corpulent approval.

Air Incheon has priority in negotiations till July 15, Korean Air stated in a regulatory submitting on Monday.

An acquisition of the cargo unit would encompass Asiana’s freighter plane, airport slots, workers and contracts, the EU has stated.

Asiana operates 11 Boeing 767 and Boeing 747 cargo planes on 21 routes to 25 cities in 12 international locations, at the side of the United States, Germany, Italy, Belgium and Britain.

Korean Air has obtained a green light from rivals authorities for the Asiana deal in 13 of 14 jurisdictions. It is far tranquil waiting for a U.S. decision, which CEO Walter Cho has stated he’s confident will be executed by the conclude of the year.