Delta to buy 49% of Virgin Atlantic?

[markis10]

[h=1]Delta bids for Singapore Airlines' 49% stake in Virgin Atlantic[/h] Delta bid prompts speculation that Richard Branson might give up control of Virgin Atlantic, the firm he launched in 1984

Delta bids for Singapore Airlines' 49% stake in Virgin Atlantic | Business | The Guardian

 

[moa999]

I suspect Branson can't sell out to Delta, otherwise VS will lose all its UK air rights.

 

[markis10]

I suspect Branson can't sell out to Delta, otherwise VS will lose all its UK air rights.

As per the article, he can sell his 51% to Deltas partners KLM et al, the 49% is SQs stake.

 

[777]

As per the article, he can sell his 51% to Deltas partners KLM et al, the 49% is SQs stake.

Yes, all he needs to do is sell 49.9999% to Delta and a couple of shares to AF KLM and problem solved.

 

[moa999]

Selling to AF is OK - because per Euro Commission regulations you have a single European Aviation market.

Indeed AF could own 100% of VS which is London based.
Much like BA can own 100% of Openskies which is Paris based

 

[yohy?!]

cant remember if SQ had taken a write-down on part of their VS stake or not but given how long they've been trying to off load them for seems like it might have a good chance of getting up

 

[markis10]

SQ have confirmed the negotiations are underway:

Singapore Airlines confirms Virgin Atlantic share sale talks | ATWOnline

 

[UP4014]

Good luck to Dickie, sell on a high buy back later.

 

[SteveJohnson]

What would be the impact of this, if any, on Virgin Australia? Does it have any bearing on DJ's likelyhood to join SkyTeam?