Korean Air has submitted formal remedies on addressing the European Commission’s competition concerns over its takeover of Asiana Airlines.
In a statement on Thursday, the nation’s largest air carrier said the remedial measures include Asiana Airlines' plan to sell its cargo business, adding that it anticipates that the remedies will provide a positive momentum for the remaining deliberation process over the planned merger.
The move comes hours after Asiana Airlines approved the sale of the company’s cargo business to facilitate the merger with Korean Air during a board meeting with three of four voting in favor and one walking out in protest.
Korean Air is seeking to get the European Commission’s approval by the end of January.
The planned merger is expected to gain speed as Asiana’s latest move has addressed the European Commission’s concerns that Korean Air’s takeover of Asiana could restrict competition in the markets for cargo air transport services between South Korea and the EU.
While Korean Air has received regulatory approval from eleven states for the merger, it still needs the go-ahead from the U.S. and Japan besides the EU.