(MENAFN) Delta Air Lines Inc. said it is buying a 3.55 percent stake in China Easter Airlines Co Ltd for USD450 million, which comes as a part of efforts by the two carriers to build up partnership.
The move marks the first time that the US carrier is becoming a shareholder in one of the big three cargos in China, although the deal still needs to be approved by the boards of the two firms.
China Eastern announced earlier that its net profit during the first six months would be USD596 million and indicated that it was on the lookout for a strategic partner, rather than just an investor.
"The carrier intends to utilize the net proceeds for working capital and other general corporate purposes," the US carrier, Delta Air Lines said the statement.
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