Air Canada is selling a 25% stake in Aeroplan to a consortium led by private equity giant Blackstone and Canadian pension fund La Caisse, valuing its loyalty program at a staggering C$10 billion. While I don’t expect Aeroplan to suddenly implode, I also don’t view another powerful financial investor taking a seat at the table as particularly good news for consumers.
A consortium led by Blackstone and La Caisse will acquire 25% of Aeroplan for nearly US$2 billion, valuing the loyalty program at C$10 billion. PSP Investments and British Columbia Investment Management Corporation are also participating in the consortium.
Air Canada will retain operational control of Aeroplan: Blackstone is not taking over the program and will not suddenly be deciding how many Aeroplan points a Lufthansa First Class ticket should cost (not that we can even book those right now).
A great solo travel tip spotted this week on Live and Let's Fly.
