Korean Air announced on 12 March that the company plans to acquire the remaining 80 percent stake in Korean Air C&D Service from private equity firm Hahn & Company. The measure will enable the country’s flag carrier to restore full ownership of its in-flight catering and duty-free retail business.
The airline said its board of directors has approved the transaction. Under the plan, Korean Air will purchase around 5 million shares in C&D Service for an estimated 750 billion won (about US$530 million).
Once completed, Korean Air will hold 100 percent ownership of Korean Air C&D, including the 20 percent stake it previously retained, making the unit a wholly owned subsidiary. The buyback will allow the airline to fully regain control of a key part of its onboard service operations, according to carrier.
Korean Air said bringing the operations back in-house will help ensure a stable supply of in-flight meals and strengthen its service competitiveness ahead of its launch of the merger with Asiana Airlines. Korean Air completed a US$1.3 billion acquisition of two-thirds of Asiana in December 2024, which will be run as a subsidiary until 1 January 2027, when it will integrate under the Korean Air name and corporate identity.
Korean Air has also vied to expand and upgrade its in-flight duty-free offerings as part of efforts to enhance the passenger experience and reinforce overall service competitiveness ahead of the upcoming launch of the integrated airline.
The airline also plans to introduce upgraded in-flight duty-free offerings to enhance the passenger experience further.
Korean Air previously sold an 80 percent stake in the in-flight catering and duty-free business to Hahn & Company in 2020 to secure liquidity during the COVID-19 pandemic, while retaining a 20 percent stake.
Korean Air C&D is the country’s largest operator of in-flight catering and onboard duty-free retail services, supplying meals and retail products to Korean Air as well as other major international airlines at Incheon and Gimpo airports.
