Qatar Airways intends to acquire a 25% equity stake in Virgin Australia from Bain Capital, the airlines announced on Tuesday. The move will drive increased competition in Australia, the companies said in a joint statement.
Subject to regulatory approvals, the deal would see Virgin launch flights from Brisbane, Melbourne, Perth and Sydney to Doha, and connect into Qatar Airways’ global network. "These extra flights will open up more than 100 new connecting itineraries across Europe, the Middle East and Africa for Australian travellers,” the airlines said.
Virgin Australia Group chief executive Jayne Hrdlicka said the deal would mean more choice and better value for Australians. "This partnership brings the missing piece to Virgin Australia’s longer-term strategy and is a huge vote of confidence in Australian aviation.” The proposed long-haul services between Australia and Doha would bring an estimated $3bn Australian ($2.08bn US) to the country, Hrdlicka said.
Qatar Airways Group chief executive Badr Mohammed Al-Meer said the airlines
were committed to delivering the best possible service
and value to Australian passengers.(Agencies)