Harbour Air Agrees To Acquire Pacific Coastal Airlines

VANCOUVER — Harbour Air has agreed to acquire Pacific Coastal Airlines, the two British Columbia carriers said on September 15, forming a regional airline group under Canadian ownership that would fly 59 aircraft to 25 communities across the province with more than 900 employees.

What the deal does not do is merge the two airlines. Pacific Coastal told customers it will keep flying under its own name, with its own air operator certificate and its own operating team, and that Harbour Air will keep its own. "Two airlines, one Canadian-owned group behind them," the airline said.

That distinction decides how much actually changes. Separate certificates mean each carrier holds its own operating approval and runs its own flights; the transaction changes who owns the two airlines rather than combining them into one.

The networks are built on different equipment, which is the stated commercial logic. The group would pair Pacific Coastal's wheeled network, flying to paved runways, with Harbour Air's seaplane network, which reaches waterfront communities and city harbors. The airlines said the combination would open more destinations to their passengers.

Harbour Air describes itself as North America's largest seaplane airline, flying up to 200 daily flights to 13 destinations from hubs in Vancouver and Victoria. Pacific Coastal, which operates from Vancouver International Airport's (YVR) South Terminal, serves 19 destinations across the province, according to Harbour Air's announcement on the acquisition.

Harbour Air's chief executive, Bert van der Stege, and Pacific Coastal's president, Quentin Smith, framed the deal in similar terms in that release. "We have a long standing and deep respect for Pacific Coastal Airlines, for their role as a B.C. regional airline and their employees who have powered the airline for 40 years," van der Stege said. Smith said Pacific Coastal has been "proud to connect communities across B.C." since 1987 and that joining Harbour Air would let it "invest in growth, maintain our brand and continue to build a stronger, better, airline for the communities that count on both of us."

What Happens Before Closing

Completion is subject to regulatory approval. Until the transaction closes, Pacific Coastal and Harbour Air continue to operate as two separate and independent airlines, with no change to operations, service or customer points of contact. Pacific Coastal told passengers their bookings are unaffected and flights are operating as scheduled.

Harbour Air and Pacific Coastal have agreed not to disclose the transaction's financial terms, the companies said. The deal still requires Canadian regulatory review, including federal review of competition and transportation impacts, and Harbour Air has not given a target closing date. Van der Stege is set to lead the combined group once the transaction closes, with Harbour Air saying further leadership detail will follow as the deal progresses. The companies said the acquisition would not affect employees while approval is pending and that they are still evaluating whether any corporate or support functions would combine over time.

Pacific Coastal said it chose the buyer deliberately, describing Harbour Air as an airline that has flown in British Columbia as long as it has and serves the same kinds of communities. The deal, it said, keeps Pacific Coastal in Canadian hands and puts investment behind the network those communities rely on.