Delta Air Lines Inc. will invest $1.2 billion in partner carriers Virgin Atlantic, Aeromexico and Latam Airlines as the U.S. airline positions itself to capitalize on a rebound in international travel, Bloomberg News reported. Delta aims to build a 20% equity stake in Grupo Aeromexico SAB and a 10% position in Latam Airlines Group SA, according to a statement Monday. The U.S. company will provide fresh financing to Virgin Atlantic Airways Ltd. and maintain its 49% equity stake. "As international travel demand returns, the connectivity, relevance and breadth of Delta’s global network with its partners remains critical,” the carrier said in the statement. “With new widebody aircraft on the way, record hiring, and significant investments in international readiness, Delta is positioned to lead the industry through the ongoing recovery.” The investment underscores the importance of international travel after the industry struggled through a sharp slowdown during the pandemic. Delta recently expanded its marketing partnership with Latam and has supported the bankruptcy reorganization of Aeromexico following a cooperation agreement signed in 2017. Atlanta-based Delta said its investments in Air France-KLM, Korean Air and China Eastern won’t change. Shares of the carrier fell as much as 4.3% in New York.
