United Airlines and South American airline group Avianca Holdings are in advanced negotiations to bolster commercial and strategic ties.
"Deepening our relationship allows us to expand on our existing Star Alliance and strategic partnerships in the region as we continuing building a great network in Latin America," Scott Kirby, president.
Avianca has been weighing up its options for several months with Delta Air Lines reportedly among the suitors seeking to take a stake in Avianca, according to Reuters.
The company is made up of Colombia based Avianca and sister company Avianca Brasil, both Star Alliance members.
Avianca Brasil is owned by Avianca Holding’s largest shareholder Synergy Group.
"The board of directors of Avianca has authorized Avianca to carry out all the analysis and other steps that are required for a potential strategic-commercial alliance with United Airlines," Avianca said.
It is still unclear whether the discussions will ultimately lead to United taking a stake in the airlines.
