Korean Air has announced plans to take full ownership of Korean Air C&D Service from Hahn & Company. This strategic buyback of the remaining 80% stake in the company will restore the airline’s 100% ownership status of its in-flight catering and duty-free retail operations.
In 2020 Korean Air divested an 80% stake in its in-flight catering and duty-free business to Hahn & Company, a private equity investment firm, to secure liquidity during the Covid-19 pandemic, retaining a 20% share. The transaction to acquire 5,010,343 shares, with an estimated value of KRW 750 billion (US$0.5 billion), was approved by Korean Air’s board of directors on 12th March.
Once the agreement is finalised, Korean Air C&D Service will operate as a wholly owned subsidiary of the airline, giving it full control of a key part of its customer service operations.
The airline says that bringing its catering and retail services back in-house will help ensure a stable supply of in-flight meals, and also strengthen its overall service competitiveness ahead of the upcoming launch of the integrated airline, following Korean Air’s acquisition of Asiana Airlines on in December 2024.Korean Air also plans to roll out an upgraded in-flight duty-free offer.
