Toll struggles to sell its stake in Virgin Blue

[Fluid-Flyer]

Personally I still believe DJ would benefit from a backer who actually really wants the business.

Surely the question has to be, who would want to be a majority shareholder of a business which is virtually controlled by the minority shareholder [via strict licensing & management agreements]?

Additionally, that smaller shareholder has demonstrated that it prioritises its own brand value [e.g. connecting the Virgin jig-saw pieces] over general shareholder value [e.g. maintaining a high share price]. (If I was even more cynical, I would argue that it is in the minority shareholder's interest to maintain a low corporate valuation, as they have no short/medium term intention of divesting/releasing true value & want to continue ownership stability.)

 

[pauly7]

Surely the question has to be, who would want to be a majority shareholder of a business which is virtually controlled by the minority shareholder [via strict licensing & management agreements]?

What restrictions and control / mgt agreements are DJ stuck with from Virgin Group?? I know there is general licencing brand stuff but wasn't aware they had any majority level of control over anything...?