1.1860928-2462299579
President of Gulfstream Aerospace, Mark Burns (2nd L) and Chief Executive Officer of Qatar Airways, Akbar Al Baker (2nd R) pose for a photograph after a press conference on the opening day of the Farnborough Airshow, south west of London, on July 11, 2016. The event, held every two years southwest of London, traditionally sees US titan Boeing and Europe’s Airbus compete as they unveil their latest multi-billion-dollar orders. Image Credit: AFP

FARNBOROUGH, England: Qatar Airways has agreed to acquire up to 10 per cent of Latin America’s largest airline LATAM Airlines, in a deal that would inject $613 million into the Chile-based carrier, the two companies said on Tuesday.

“We have signed a subscription agreement that provides for Qatar Airways to acquire up to 10 per cent of LATAM’s total shares, which will be acquired in connection with a capital increase,” Qatar chief executive Akbar Al Baker told a media briefing at the Farnborough Airshow.

Under the agreement, LATAM will hold an Extraordinary Shareholders Meeting by Sept. 2 to propose a capital increase of $613 million through the issuance of new shares at $10 per share, the companies said in a statement.