LAN+TAM = world’s most valuable airline

LAN+TAM = world’s most valuable airline


LAN+TAM = world’s most valuable airline


Chile’s LAN Airlines said it has completed its takeover of Brazilian airline TAM, creating the most valuable airline in the world by market value and Latin America’s biggest carrier, LATAM Airlines
Group. The deal, which began in May, concluded after 99.9 per cent of TAM shareholders exchanged their shares of the company for those of LAN, at a rate of 0.9 shares of the Chilean airline for each share of the Brazilian airline in the last step to create the aerospace giant.

“The creation of this group of airlines is an opportunity to take South America to the world and to allow us to position ourselves to operate in an increasingly competitive environment due to the
continuing consolidation of the global airline industry,” said LATAM executive vice president and CEO Enrique Cueto said in a statement. The combined airline has a fleet of 241 aircraft including 11 freighters and orders for 198 more aircraft including two freighters.

Through the airlines that comprise it, LATAM “will offer its passengers more flights to more destinations than any
other airline group in South America, initially reaching about 150 destinations in 22 countries and transporting cargo to 169 destinations in 27 countries,” the company said. Cueto said that each airline in LATAM will keep its current headquarters, with LAN in Santiago and TAM in Sao Paulo.