It’s been a busy week for the Virgin brand with Virgin America mulling over a buyout and Virgin Australia potentially losing its biggest shareholder, Air New Zealand.
The Kiwi carrier, which owns just over a quarter of Virgin Australia, is considering selling off all, or part of its shareholding.
First NZ Capital and Credit Suisse have been recruited to advise the carrier on its options.
Air New Zealand Chairman, Tony Carter, told his Virgin Australia counterpart, Elizabeth Bryan, about the review and said the carrier was keen to focus on its own growth opportunities.
He said selling off shareholding would open Air New Zealand to “alternate uses of capital currently deployed in Virgin Australia”.
“We look forward to continuing our partnership on the Tasman alliance, providing customers of both airlines with the most comprehensive trans-Tasman network.”
Christopher Luxon, Air New Zealand Chief Executive
As a result of the airline’s potential withdrawal, Christopher Luxon has resigned from the Virgin board effective immediately.