ANA Group of Japan will acquire an 8.8 percent share of Vietnam Airlines under terms of an agreement the two carriers announced on January 12. The transaction is valued at approximately $108 million.

The minority share, which is subject to approvals by the Vietnamese government, will allow the two airlines to “take maximum advantage” of the increasing demand for air transportation in the Asian market, particularly in Cambodia, Laos, Myanmar and Vietnam, the countries with the highest growth potential, the carriers said. ANA, the holding company of Tokyo-based All Nippon Airways, will also place a director on the Vietnam Airlines board and provide the latter carrier with operational and management training, the carriers said.

The share represents ANA’s first investment in a foreign flag carrier, and the first time that state-owned Vietnam Airlines has accepted part ownership by a foreign company, according to Nikkei Asian Review. ANA has been eager to take a stake in a southeast Asian carrier for several years and in 2012 raised around $1.4 billion in new capital through an equity issue. In 2014, it abandoned plans to buy a 49 percent stake in Myanmar's Asian Wings Airways.

“We appreciate the cooperation with ANA Group to participate in the administration and long-term development of the Vietnam Airlines Corporation,” said Pham Viet Thanh, the airline’s chairman. “The cooperation with ANA Group will help Vietnam Airlines acquire new management technologies, expand the market, improve service quality, and increase competitiveness on international markets. I strongly believe this comprehensive cooperation will enhance the value, brand and image of Vietnam Airlines.”

Hanoi-based Vietnam Airlines now operates 66 flights per week on 10 routes between Japan and Vietnam. ANA operates 14 flights a week on two routes.

On January 11, ANA and manufacturer Boeing marked the 100,000th revenue flight by an ANA 787 Dreamliner with a ceremony at Sea-Tac International Airport in Seattle.