Qantas decided to abandon its plan to buy the charter flight operator, Alliance Airlines (Alliance Aviation Services), worth A$611 million ($387 million), months after Australia’s competition regulator blocked the deal.
In 2019, Qantas purchased 19.99% of Alliance Airlines (Alliance) and in May 2022 launched a tender offer for the remaining shares of Alliance, with Alliance supporting the offer. But in April this year, the Australian Competition and Consumer Commission (ACCC) had refused authorization for the acquisition, saying that the agreement risked raise prices and reduce the quality of service.
The country’s national airline, which will retain a nearly 20% stake in Alliance Airlines, has agreed to exercise options on four planes additional services under its long-standing agreement with the charter operator, bringing the total number ofE190 operated by Alliance for Qantas.
