Singapore Airlines in talks on Virgin Atlantic sale

Virgin Atlantic airliner Virgin is the second-biggest airline at Heathrow airport in London after British Airways

Singapore Airlines says it is in talks to sell its 49% stake in Virgin Atlantic.

News agencies, including Reuters and Bloomberg, reported that Delta Air Lines was the interested party according to unnamed sources.

Billionaire Richard Branson holds a controlling 51% of Virgin.

A partnership with Virgin would allow US-based Delta to access the lucrative transatlantic business travellers market between the US and London.

Singapore Air bought its 49% stake in Virgin in 2000 for about £551m ($884m). Since then Singapore Air has injected further capital into Virgin and now values its total investment at £600.25m.

Singapore Air said in a brief statement that it was "in discussions with interested parties" to possibly divest its shareholding, but did not name the potential buyers.

It added that the talks may or may not lead to a transaction.

Delta, the second-biggest US airline, has been looking to buy into Virgin for more than two years, as it looks to increase its access to London's Heathrow airport.

Virgin is the second-biggest airline at Heathrow airport, where landing slots are hard to acquire.

Virgin has also been looking for investors, hiring Deutsche Bank in 2010 to look into its options.

More on This Story

The BBC is not responsible for the content of external Internet sites

More Business stories

RSS

Features & Analysis

Elsewhere on the BBC

  • Phantom BadgerReporting for duty

    BBC Autos discovers what makes Boeing’s new versatile and transportable war machine so special

Programmes

  • Taking a piano to Zermatt UnpluggedThe Travel Show Watch

    Climbing high to one of Europe’s biggest music festivals but how did that piano get up the mountain?

BBC © 2014 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.