ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print
Business deals

South Korean budget airline deal scrapped amid pandemic

Jeju Air cites uncertainty in canceling purchase of troubled Eastar

Eastar Jet, which employs about 1,600 people, has been ordered by the transport ministry to minimize job losses. (Photo from airline's Facebook account)

SEOUL -- Jeju Air, South Korea's largest low-cost carrier, will drop its planned acquisition of foundering compatriot Eastar Jet as the coronavirus pandemic wipes out demand for air travel.

Jeju Air faces too much uncertainty surrounding the deal to proceed, the airline said Thursday in announcing the decision.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more