SkyTeam May Benefit Should Singapore Airlines Divest Its 49% Holding In Virgin Atlantic
By Leithen Francis, Jens Flottau
Source: Aviation Daily
Despite the cost exposure, Virgin Atlantic has valuable airport slots and may be of strategic importance to a U.S. carrier. It will still be difficult for SIA to secure a price comparable to what it paid for its stake in early 2000.
SIA paid £600.25 million for the 49% share, which included a capital injection of £49 million. The deal valued Virgin Atlantic at £1.2 billion, but SIA has since written down the value of the shareholding.