Air Canada has agreed to sell a 25% non-controlling stake in its Aeroplan loyalty programme to an investor group led by Blackstone and La Caisse, valuing the business at C$10 billion. The C$2.5 billion transaction leaves Air Canada with 75% ownership and full operational control, while bringing in PSP Investments and British Columbia Investment Management Corp. as additional investors.
The airline plans to use the proceeds to reduce debt, including an upcoming bond maturity, and to accelerate share buybacks. A separate C$800 million repurchase programme is also expected to benefit from the deal. Air Canada has indicated that the transaction will not affect members, partners or employees, preserving the current structure of the programme while monetising one of its most valuable assets.
The move underlines the financial importance of airline loyalty schemes, which have increasingly been treated as standalone assets capable of attracting major institutional capital. For Air Canada, the sale strengthens the balance sheet while allowing the carrier to retain control over Aeroplan’s strategy and operations.