Published on Thursday, November 12, 2020

Court gives final approval for Virgin Australia takeover

The transfer of the Virgin Australia business to new owner Bain Capital is signed, sealed and almost delivered.


A Federal Court hearing gave final approval for the transfer to Bain and it will be completed next week.


Federal Court judge John Middleton rejected a final plea from some disgruntled shareholders to stop the sale and granted the transfer of shares to Bain.


Then the airline will finally exit administration.


Virgin's collapse left most shareholders with nothing which was written off by the likes of Etihad and Singapore Airlines, but some smaller shareholders had taken legal action.


Under Bain, Virgin will operate with a smaller workforce and smaller fleet size.


It will operate a mostly Boeing 737 fleet for domestic flights and has retired long haul Boeing 777s, Airbus A330s and Airbus A320s, which were flown by the now defunct Tigerair brand.


There have been major changes in the boardroom too.


 Current boss Paul Scurrah is being replaced as CEO by former Jetstar chief executive Jayne Hrdlicka.


 


Written by Ray Montgomery, Asia Editor

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