Qatar Airways on Wednesday said it won't proceed with a plan to acquire an equity stake in American Airlines.

In June, Qatar said it planned to initially buy 4.75% of American stock, the most allowed without advance approval from American's board of directors. At the time, Qatar said it aimed to purchase up to 10% of American.

In a statement on Wednesday, Qatar said, "Further review of the proposed financial investment, taking into account the latest public disclosure of American Airlines, has demonstrated that the investment no longer meets our objectives. Qatar Airways will continue to investigate alternative investment opportunities in the United States of America and elsewhere that do meet our objectives."

On July 12, American filed a Securities and Exchange Commission document saying that Qatar's plan to invest in American Airlines was unsolicited, and that it would continue to lobby for a U.S. government crackdown on Gulf carriers Qatar, Emirates and Etihad.

American, Delta and United say that the three state-owned Gulf airlines have violated aviation agreements by receiving massive subsidies, resulting in an unlevel playing field. The three Gulf carriers disagree.

Further, American said it would end codeshare agreements with the Qatar and Etihad due to the ongoing dispute. The last flights under those codeshares will occur on March 24.

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