On Tuesday, August 4, 2026, Qantas Airways announced that Jetstar Japan will buy back its 33.32% stake in the budget airline for 8.2 billion yen (approximately $52.11 million). This transaction will pave the way for Jetstar Japan to come under full Japanese ownership and rebrand under a new name, dropping the "Jetstar" brand to strengthen its position in Japan's low-cost carrier market.

The deal was signed by Qantas, Japan Airlines, and other shareholders. As part of the agreement, the Development Bank of Japan will join as a new shareholder, while Japan Airlines and Tokyo Century will retain their stakes.

Qantas stated that this move allows it to redirect capital towards its operations in Australia and across its international networks. The share buyback is expected to generate an estimated gain of about A$115 million ($80.49 million) for Qantas in items outside underlying earnings, predominantly in 2027.

Qantas will continue to recognize its share of Jetstar Japan's profits or losses until the transaction is completed, which is expected by June 2027.

Jetstar Japan was established over a decade ago by Qantas, Japan Airlines, and Mitsubishi Corp. It began operating as a low-cost carrier in late 2012 from Narita Airport near Tokyo. This announcement follows a non-binding memorandum of understanding disclosed in February 2026.

Sources