Qatar Airways to acquire 25% of Virgin Australia

[RooFlyer]

Yep, that’s what mine said. Very coincidental that they sent it the day before a decision is expected. I’d be fairly confident that they already knew the answer before firing them off

But a good way to p-off a regulator is to take a decision for granted before it announces it.

 

[SYD]

Seems like it’s been approved, Velocity email re the ‘breakup’ with Etihad sent this evening, and apparently Virgin has scheduled a Town Hall with its staff tomorrow lunchtime.

I read that email as a “saving face” notification off the back of EY being proactive. “It’s not me, it’s you” announcement. Nothing more.

 

[Saab34]

It would be interesting to see what QRs ‘fee’ is to Virgin to operate these flights. Assuming it would be something exorbitant as the aim here isn’t to put all the green earnings from these flights onto the VA balance sheet.

 

[justinbrett]

It would be interesting to see what QRs ‘fee’ is to Virgin to operate these flights. Assuming it would be something exorbitant as the aim here isn’t to put all the green earnings from these flights onto the VA balance sheet.

Well VAi has to fund it, so it can’t really operate at a loss.

 

[RooFlyer]

It would be interesting to see what QRs ‘fee’ is to Virgin to operate these flights. Assuming it would be something exorbitant as the aim here isn’t to put all the green earnings from these flights onto the VA balance sheet.

I guess it would all be built into the lease arrangement. And as always there's the old inter-company loans thing. The cash flows after the investment, if approved, would be interesting to behold.

 

[jakeseven7]

Well VAi has to fund it, so it can’t really operate at a loss.

Hasn’t stopped them before

 

[aus_flyer]

Well, it's the last business day of November. ACCC interim decision is due by the end of the month. So far nothing...

 

[Bagpuss]

Well, it's the last business day of November. ACCC interim decision is due by the end of the month. So far nothing...

That was at Virgin's / Qatar's request.

 

[rj90]

Any news on the town hall for Virgin staff on Wednesday? Was it announcing the sale or something different?

 

[Bagpuss]

Any news on the town hall for Virgin staff on Wednesday? Was it announcing the sale or something different?

I'm sure anything noteworthy would have been leaked to the media by now.

 

[Saab34]

Wouldn’t be the first time the dates lapse then the week after the update the timeframes.

 

[p--and--t]

Well, it's the last business day of November. ACCC interim decision is due by the end of the month. So far nothing...

That was at Virgin's / Qatar's request.

View attachment 416805

Its not 5pm yet, and besides it was only VAs request. Requests don't drive the assessment and approval process. The ACCC will do it in their own timeframe

 

[simmomelb]

Its not 5pm yet, and besides it was only VAs request. Requests don't drive the assessment and approval process. The ACCC will do it in their own timeframe

VA requested November, but the ACCC also stated an indicative date of November, irrespective of what VA wanted.
The ACCC doesn't post timeframes based on what applicants request.
I'd be surprised if we don't hear from them today, but they have shot past their indicative dates before.

 

[simmomelb]

It has been approved, woohoo!

ACCC grants interim authorisation to Virgin Australia and Qatar Airways

The ACCC has granted interim authorisation to Virgin Australia and Qatar Airways, allowing them to engage in cooperative conduct under an integrated alliance.

www.accc.gov.au

 

[jase05]

I’m sure the naysayers will no doubt find something to pot them about

 

[henrus]

Any news on the town hall for Virgin staff on Wednesday? Was it announcing the sale or something different?

Was different.

 

[jrfsp]

I bet the MEL-ADL tag flight will be dropped and replaced will a direct “VA” flight

 

[jase05]

I bet the MEL-ADL tag flight will be dropped and replaced will a direct “VA” flight

I don’t think that was ever in doubt if this went through

 

[oz_mark]

ACCC grants interim authorisation to Virgin Australia and Qatar Airways

The ACCC has granted interim authorisation to Virgin Australia and Qatar Airways, allowing them to engage in cooperative conduct under an integrated alliance.

www.accc.gov.au

The ACCC has granted interim authorisation to Virgin Australia and Qatar Airways, allowing them to engage in cooperative conduct under an integrated alliance.

 

[Bagpuss]

It has been approved, woohoo!

ACCC grants interim authorisation to Virgin Australia and Qatar Airways

The ACCC has granted interim authorisation to Virgin Australia and Qatar Airways, allowing them to engage in cooperative conduct under an integrated alliance.

www.accc.gov.au

Interesting parts :

The ACCC has also accepted a court enforceable undertaking from Virgin Australia and Qatar Airways in relation to the conduct.
The undertaking accepted by the ACCC today ensures that if final regulatory approval is ultimately not granted, then customers who have booked these proposed new services would be protected.
“Affected customers will be given the option of a refund or re-accommodation on a suitable alternative flight at no additional charge and would not be out of pocket for any reasonably foreseeable costs if these proposed new services ultimately don’t get approved,” Mr Keogh said.
“Having this court-enforceable undertaking that protects customers was important to our decision to allow Virgin Australia and Qatar Airways to start selling tickets now.”

The airlines sought urgent interim authorisation to enable Virgin Australia to start flying its new Australia-Doha services from Sydney, Melbourne and Brisbane in June 2025, with Perth services to follow in November 2025.
“We are carefully considering the concerns that interested parties have raised, particularly around the wetlease arrangements and the impact of the proposed exclusivity arrangements between Virgin Australia and Qatar Airways,” Mr Keogh said.

Under the proposed arrangements Velocity members will continue to be able to earn and redeem Velocity points on Singapore Airlines’ operated services globally, including to and from Europe, the Middle East and Africa.

Virgin Australia’s arrangements with South African Airways and Virgin Atlantic would be unchanged.

Qatar Airways and Virgin Australia have sought authorisation for five years.

The ACCC is expected to release a draft determination in February 2025.