Air Canada Sells 25% Stake in Aeroplan at C$10B Valuation
Air Canada is selling a 25% stake in its Aeroplan loyalty program to a Blackstone-led group for C$2.5 billion, implying a C$10 billion valuation—higher than Air Canada's own market cap. The airline retains 75% and full control, with an option to buy back between years five and eight. The deal settles August 17, with proceeds partly repaying a US$1.2 billion bond.
Impact and considerations
The loyalty program's valuation exceeding the airline itself underscores the value of frequent-flyer programs as high-margin assets, potentially influencing industry capital strategies and valuations.
Key points
- Air Canada sells 25% of Aeroplan for C$2.5B at C$10B valuation.
- Air Canada retains 75% and full operational control.
- Deal settles Aug 17, proceeds partly repay US$1.2B bond.
- Air Canada can buy back between years 5-8 at 6.5% IRR.
Sources and time
- Primary source
- Skift
- Other sources
- 0
- First source publication
- 12 Aug 2026, 22:22
- Page published
- 13 Aug 2026, 08:06
- Last updated
- 12 Aug 2026, 22:22
- Original links
- Skift Feed：Air Canada Sold Aeroplan, Bought It Back, and Has Now Sold a Quarter of It Again (opens in a new tab)Primary source · en · Published 12 Aug 2026, 22:22