Qantas Airways Limited (ASX:QAN) entered into a scheme implementation deed to acquire remaining 80% stake in Alliance Aviation Services Limited (ASX:AQZ) for approximately AUD 610 million on May 4, 2022. Qantas will issue worth AUD 4.75 of share to acquire each remaining share of Alliance. Upon completion, Alliance will become a wholly owned subsidiary of Qantas.

The scheme requires Alliance to pay AUD 7.6 million breakup fee. The Alliance directors unanimously recommend the transaction. The acquisition is subject to approval of Alliance shareholders, independent expert concluding that scheme is in the best interest of Alliance shareholders, competition clearance, due diligence review, court approval and other customary conditions.

As of August 18, 2022, The ACCC has outlined preliminary competition concerns regarding the acquisition, The ACCC's final decision is scheduled for November 17, 2022. Ad os March 20, 2023, the ACCC review period has been extended till April 20, 2023. As of April 20, 2023, The ACCC had opposed the acquisition.

The transaction is expected to be EPS accretive. Catapult Partners acted as financial advisor, Herbert Smith Freehills and King & Wood Mallesons acted as legal advisors of Alliance. Link Market Services Limited acted as registrar for Qantas and Alliance Aviation.