The proposed merger between Korean Air and Asiana Airlines has received approval from regulatory authorities in Australia.
In granting the ninth approval from 14 key market regulators the South Korean flag carrier asked for M&A endorsements from, the Australian Competition and Consumer Commission(ACCC) said on Thursday that it will not oppose the deal.
The commission noted that the acquisition will combine the only two current providers of direct flights between Sydney and Seoul but added that Qantas and Jetstar will soon offer both passenger and cargo flights on the same route later this year.
With Qantas Group offering flights through both its full-service and low-cost carriers, the agency said, there is likely to be effective competition whether or not the acquisition proceeds.
Now that Australia has given the green light, the airlines are awaiting regulatory approval from the U.S., China, Japan, Britain and the European Union.
Source: KBS World Radio