Virgin rumoured to be mulling Air NZ merger and Rex acquisition

Virgin rumoured to be mulling Air NZ merger and Rex acquisition

Virgin Australia may be considering a merger with Air New Zealand, while simultaneously mulling acquiring Rex, according to a report in the Australian.

According to the News Corp. masthead, sources have revealed that Virgin and Air New Zealand have held discussions about a merger, with investment banks Goldman Sachs and Jerden allegedly offering the Aussie carrier assistance.

The plan would see a back door dual listing here and across the Tasman of Virgin into Air New Zealand, forming an expanded trans-Tasman network for both companies.

However, Air New Zealand chair Dame Therese Walsh has released a statement claiming it had not been approached and is not in discussions with any parties regarding a potential merger transaction.

As for the Rex rumours, Rex said in a statement that it is “up to Virgin Australia to comment on this matter”.

Virgin, however, declined to comment on the matter when approached by Travel Weekly. 

The Australian noted that Virgin would only buy Rex if it returned to servicing only regional routes, not to mention Rex’s reliance on 40 per cent of its feeder traffic from Qantas, which would surely end if Virgin were to purchase the airline.

The news came as Rex’s proposed acquisition of National Jet Express, the regional arm of Cobham, received the green light from the Foreign Investment Review Board (FIRB).

Following this milestone approval, the airline said the sale should be completed on 30 September 2022.

Featured image: Virgin Australia Group CEO Jayne Hrdlicka

Latest News

  • Cruise

P&O rescues Rotary volunteers after collapse of Air Vanuatu

P&O Cruises Australia has answered a plea for help from a group of young Australian Rotary volunteers, stranded in Vanuatu following the collapse of Air Vanuatu. The students, many of them teenagers from Albury, NSW, were volunteering for a youth project run by the Hive Rotary Club Australia when the airline abruptly cancelled all flights, […]

  • Destinations

Intrepid continues expansions with launch of first DMC in Jordan

Intrepid has increased its presence in the Middle East with the opening of its first destination management company in Jordan. Based in Amman, the local team will operate Intrepid’s range of nine experiential small group tours in Jordan from this summer, with a view to expanding the range for 2025 and beyond. Zina Bencheikh, managing […]

  • Appointments

Minor hotels appoints Puneet Dhawan to key Asia role

Global hotel owner and operator Minor Hotels has appointed Puneet Dhawan as head of Asia as the group plots its growth in Asia and India. From July, Dhawan will be responsible for the performance of all Minor Hotels properties in Asia, working in close collaboration with the Minor Hotels senior leadership team and will report […]

  • Appointments

Abercrombie & Kent and Crystal appoint Evon Ler to director of sales, Asia

Abercrombie & Kent Travel Group have announced that Evon Ler will join them in the new role of director of sales, Asia. She will work closely with Tony Archbold (VP, Sales, APAC, Crystal) and Susan Haberle (VP, Sales & Partnerships, APAC, A&K) with trade support across the region. Ler comes to the A&K family with more […]