Reports: Delta in talks to buy 49 per cent stake in Virgin Atlantic Airways
A Delta Airlines Bombardier CRJ-100, similar to this undated file photo, landed safely in Atlanta after what officials believe were two birds.
The Associated Press
Published Sunday, December 2, 2012 5:25PM EST
NEW YORK -- Delta Air Lines Inc. is mulling the purchased of a 49 per cent stake in British airline Virgin Atlantic Airways from Singapore Airlines Ltd., according to media reports.
The remaining 51 per cent of Virgin Atlantic is owned by billionaire Richard Branson, who founded the airline in 1984.
Singapore has been considering selling its stake in Virgin for several years and has talked with Delta about a sale in the past, according to the Wall Street Journal.
Virgin has been looking for a possible suitor, too. It hired investment firm Deutsche Bank in 2010 to explore its options.
Buying Virgin is attractive to a carrier like Delta because of its potential to unlock more access to London's Heathrow airport, a key international gateway. Virgin is the second-biggest airline there after British Airways.