Air NZ increases interest in Virgin Australia to 22.99%

Media release

6 June 2013

Air New Zealand increases interest in Virgin Australia to 22.99%

Air New Zealand has entered into an agreement to acquire a further 3% of the shares of Virgin Australia, taking its interest to 22.99%. The agreement is subject to customary Foreign Investment Review Board (FIRB) and Australian Competition and Consumer Commission (ACCC) conditions and Air New Zealand has filed the required Substantial Shareholder Notice.

Air New Zealand will consider acquiring up to a further 3% of the shares in Virgin Australia, to the extent it is permitted to do so under the Australian Corporations Act, and has made an application to FIRB on that basis.

As part of its usual process, FIRB seeks the views of the ACCC on any competition related issues. The ACCC has advised Air New Zealand that it intends to conduct public enquiries to enable it to form a view in relation to these potential shareholdings.

The additional interest affirms Air New Zealand’s strong belief and confidence in Virgin Australia and the strategy it is pursuing under the leadership of John Borghetti and his team.

Air New Zealand is not seeking a position on the Board of Virgin Australia nor does it have the intention of obtaining control of Virgin Australia. 

ENDS

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