Qatar Airways announced on 20 August that it had taken a 25% stake in South Africa’s Airlink.
The exact value of the investment is not yet known but is believed to be a significant amount.
Airlink is a prominent regional airline operating full-service flights across numerous parts of Africa.
AIRLINK: KEY PLAYER IN AFRICA
Independently operated Airlink has established itself as a key player in African aviation.
Hence Qatar’s interest in investing in the South African carrier.
As a prominent regional airline in Africa, Airlink flies to more than 45 destinations across 15 countries in sub-Saharan Africa.
Airlink has a fleet of over 65 aircraft and an annual passenger count exceeding 3 million.
BENEFITS FOR AIRLINK
This investment by Qatar Airways will enable Airlink to increase its capacity and expand its marketing reach.
Airlink will be able to expand its fleet and acquire larger aircraft. This will enable it to grow its flight schedule and route network.
“Having Qatar Airways as an equity partner is a powerful endorsement of Airlink and echoes our faith in the markets we currently serve and plan to add to our network,” added Airlink Chief Executive Rodger Foster.
BENEFITS FOR QATAR AIRWAYS
The partnership marks a significant step in Qatar’s strategic expansion across the African continent.
As well as offering enhanced connectivity, Qatar stands to establish itself as a carrier of choice.
By being able to provide convenient services to more passengers travelling to and from Africa and other global destinations, Qatar Airways can expect to see more traffic moving through its Doha hub.
BENEFITS FOR AFRICA
The deal is, however, good news for the African continent which will gain from improved connectivity as well as a possible lowering of air transport costs.
Africa has immense growth potential but remains historically underserved with regard to aviation.
The acquisition will boost Qatar Airway’s vision of being a key driver for the continent’s economic success.
“Our investment in Airlink further demonstrates how integral we see Africa being to our business future,” said Qatar Airways Group Chief Executive Officer Badr Mohammed Al-Meer.
EXISTING CODESHARE AGREEMENT
Qatar Airways and Airlink entered a comprehensive codeshare agreement in 2022.
That said, this new agreement is set to build on the partnership the airlines have developed over this period.
BusinessTech states the partnership also aims to align both carriers’ loyalty programs – Qatar Airways Privilege Club and Airlink Skybucks.
OTHER QATAR AIRWAYS ACQUISITIONS
Qatar Airways is also in the process of finalizing the acquisition of a 49% stake in Rwanda’s national airline, RwandAir.
In addition, Qatar and will have a 60% stake in a new airport that is being built near Rwanda’s capital. Thus, helping the airline to gain greater scale on the continent.
Daily Investor reports that Qatar Airways is the largest shareholder of British Airways owner IAG SA. The airline also has stakes in Latam Airlines Group SA and Cathay Pacific Airways.
