Delta stunned analysts with a 20% purchase of LATAM, paying $1.5 billion for the shares.
The crucial aspect seems to have been Delta’s willingness to take over LATAM’s orders for the A350 – an aircraft American walked away from and LATAM is desperate to escape.
Delta has agreed to take four of LATAM’s A350’s and the rest of its order of ten more.
The whole deal is a slap in the face to American which has been slowly working on acquiring a stake in LATAM and extending its business arrangements with the fellow OneWorld member.
Delta now has substantial shareholding’s in a number of key airlines￼ and is possibly the worlds most influential aviation business.