Asiana Airlines has selected Air Incheon, the only dedicated freight airline in South Korea, as the preferred negotiator for its cargo business division.

Asiana Airlines has selected Air Incheon, the only dedicated freight airline in South Korea, as the preferred negotiator for its cargo business division.: COMPANY / Reporter Kim SangJin / 2024-06-17 03:26:15

(Photo = Asiana Airlines)

[Alpha Biz= Reporter Kim Sangjin] Asiana Airlines' cargo business division has selected Air Incheon, South Korea's sole dedicated freight airline, as the preferred negotiator. According to investment banking sources on the 17th, Asiana's cargo sale team and UBS, the advisory firm, have nominated Air Incheon as the preferred negotiator. Korean Air is scheduled to sign a Memorandum of Understanding (MOU) with Air Incheon on the 17th of this month.

The bidding process involved Air Incheon, along with Air Premia and Eastar Jet, in a three-way competition. Air Incheon reportedly offered a bid exceeding 450 billion KRW during the main bidding process. While all three contenders demonstrated similar levels of financial capability, Air Incheon garnered higher evaluations due to its decade-long experience in air cargo transportation and its capability to compete with Korean Air in the future.

Air Incheon formed a consortium with Socheong Private Equity, a PEF fund manager and strategic investor (SI), along with Korea Investment Partners, a financial investor (FI). Shinhan Investment