Gol, Avianca to Combine Forces in Race for Cheaper Air Travel
- Carriers uniting under new common holding company, Abra Group
- Abra will have ‘relentless focus on cost,’ chairman says
An Avianca A320.
Source: Avianca Group
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Colombia’s Avianca Group International Ltd. and Brazil’s Gol Linhas Aereas Inteligentes SA will unite under a common ownership structure, creating what they say will be one of the largest airline groups in Latin America.
The airlines’ principal shareholders agreed to form Abra Group Ltd., a closely held company incorporated in the UK, the carriers said Wednesday. While the airlines will continue to operate independently with their own executive teams and brands, the shared ownership will strengthen their balance sheets and provide opportunities to expand, said Roberto Kriete, who will serve as the group’s chairman.