Virgin snaps up 60% of Tiger Airways
IN A stunning round of transactions this morning, Virgin Australia has sold a 10 per cent stake to Singapore Airlines, bought 60 per cent of Tiger Airways, and is looking to spend $99m on a takeover of regional carrier Skywest.
Singapore Air - the world's second-largest carrier by market value - will spend $105 million for the stake in Australia's second-largest carrier, Brisbane-based Virgin said in this morning.
The investment will be used to fund growth.
Virgin will pay at least $35 million for a 60 per cent stake in the Australian operations of Tiger Airways Holdings, the budget airline 33 per cent owned by Singapore Air, and will bid for all of West Australian Fifo specialist Skywest Airlines.
Shares in Virgin, which last traded at 46 cents, are in a trading halt this morning.
Read more at Brisbane Times