This is Rare. Multiple US Airlines are Buying Stakes in Brazil
It's not often we see two national carriers look towards partnerships with the same company, as most international partnerships are defined by alliances, but this is not stopping American and United from both investing in Brazil's two largest carriers - GOL and Azul.
This is obviously strategic, but how so? And what it could mean for travelers.
In this post:
Azul Hits the Reset Button
On May 28, 2025, Azul filed for Chapter 11 in New York, a move the carrier says is aimed purely at restructuring dollar-denominated debt, not grounding airplanes. So operations at its Campinas/Viracopos (VCP) mega hub continue as normal.
Azul’s CEO even called it "A balance sheet pit-stop.”
Enter the Surprise Sponsors: American and United
Within 24 hours, both American Airlines and United Airlines agreed to provide up to $300 million in debtor-in-possession financing and take post-restructuring equity stakes.
American framed the deal as “Deepening our commitment to Brazil,” while United pointed to its long-standing codeshare with Azul.
Why would two fierce rivals bankroll the same airline? Because Brazil is now the prize market, neither can afford to lose. American lost regional dominance in 2019 when Delta bought into LATAM. AA's 5 % slice of GOL filled only part of that void. Azul adds real reach beyond GOL’s limited all-737 network.
United still flies solo on most Latin routes. A stronger Azul keeps Star Alliance relevant in Brazil without United incurring its capital expenditures. And as said, United has been a codeshare partner with Azul, and allows redemptions between programs.
Azul, GOL … and Maybe a Merger
GOL is days away from exiting Chapter 11 with roughly US $900 million in fresh liquidity, backed by its parent Abra Group (also Avianca’s owner).
Brazil’s government openly supports a GOL-Azul merger, arguing the combined carrier would steady the domestic market while still facing LATAM’s 40 % share.
Antitrust hurdles remain, but the low route overlap makes approval plausible.
If the tie-up happens after Azul’s restructuring, both American and United would have seats at the table, via both Azul and Gol. That would instantly dilute Delta/LATAM’s head start.
For someone who doesn't know the AZUL program well, this looks like alot of points. But thier points are valued so lowly, that this is really equaly about $600, an insane deal
Delta Joining In?
While its rivals are tidying up bankruptcies, Delta is expanding its joint venture with LATAM into Argentina, on more than 200 city pairs.
Financial forecasts show the JV driving LATAM’s operating margin above 13%.
That success is precisely what spurred America to double down on Brazil and what may finally nudge United to activate, not just advertise, its Star-Alliance links with Avianca, Copa, and Azul.
Delta proudly boasts their expansive network throughout Latin America, a move that aligns with recent changes to the SkyMiles program.
The Three Endgames to Watch
“Brazilian Triangle” The Mega-Merge Azul and GOL finally tie the knot, creating a domestic juggernaut with near-blanket coverage of Brazil. Both American and United keep their small equity stakes, but the new carrier stays alliance-neutral so it can play with everyone.
American Grabs the Prize Same Azul-GOL merger, but this time the combined airline jumps into oneworld and signs a full revenue-sharing joint venture with American. Think seamless ticketing, shared lounges, and a tidal wave of AAdvantage miles.
United Strikes Back Azul skips the merger and instead doubles down on its Star-Alliance friendships. Avianca, Copa, and Azul knit together a de-facto joint venture under United’s umbrella, turning MileagePlus into the most useful currency south of the equator.
How this will affect travelers
Award seats – Expect some mild chaos as Azul floods programs with inventory to raise cash; thereafter, saver space could tighten once JVs start revenue-sharing.
Status perks – Dual investments could let AAdvantage and MileagePlus elites enjoy identical benefits on the same Azul flight—a rarity.
Network breath – Secondary Brazilian cities may see their first easy US connections if Azul gains a wide-body lift from partners.
Fares – Domestically, a GOL-Azul merger could potentially nudge prices up, but internationally, competition with Delta and LATAM should keep trans-American fares in check.
Bottom Line
Brazil has gone from a local-carrier sideshow to the center of the U.S. airline strategy map. With Azul in Chapter 11, GOL exiting its own, and Delta’s LATAM juggernaut surging, American and United decided that co-investing in the same Brazilian airline beats sitting on the sidelines.
Whether this ends in a merger, a joint venture, or a turf war at Viracopos, the next two years will redraw Latin America’s route maps and likely your frequent-flyer spreadsheets. Buckle up: turbulence ahead, but plenty of opportunity for savvy travelers to earn, burn, and explore
