Qatar Airways announced it has dropped plans to buy a 10-percent stake in American Airlines, as Doha remains embroiled in a diplomatic row with its neighbours.
A review of the planned move “demonstrated that the investment no longer meets our objectives,” the company said in a statement, without elaborating.
The Qatari airline’s surprise plan to buy at least $808 million in American Airlines shares was disclosed by the US carrier in a securities filing June 23.
The Qatari carrier said it would “continue to investigate alternative investment opportunities in the United States of America and elsewhere that do meet our objectives.”
The announcement comes as Qatar remains embroiled in the worst regional crisis in years.
On June 5, Saudi Arabia and its allies including Egypt and the United Arab Emirates cut diplomatic and trade ties with Qatar, accusing Doha of backing extremist groups and being too close to Riyadh’s arch-rival Iran.