11th May 2020 06:59
(Alliance News) - Virgin Atlantic Airways Ltd is seeking to raise new funds from private investors in a bid to avoid collapse, the Times newspaper reported on Monday.
The airline is set to discuss potential financing options with several private sector investors, including Cerberus Capital Management, Centerbridge Partners, Apollo Global Management and Greybull Capital.
According to the newspaper, the company's financing talks include equity stake sale against potential commercial loans or other forms of credit.
The airline, which is majority-owned by British businessman Richard Branson's Virgin Group, at the same time is also seeking a GBP500 million rescue package from the UK government, the Times reported.
https://www.thetimes.co.uk/article/virgin-atlantic-seeks-investors-in-bid-to-stave-off-collapse-st5qnnzn7
Airlines around the globe have furloughed or shed thousands of staff in a bid to stay afloat, as the majority of the world's air travel remains restricted.
Virgin Atlantic, on Tuesday last week, said it would shed over 3,000 jobs and move its operations from London's Gatwick airport to Heathrow, as part of measures to "reshape and resize" the business.
International Consolidated Airlines SA-owned British Airways has also begun a consultation on up to 12,000 redundancies, while Irish carrier Ryanair Holdings PLC has decided to cut 3,000 jobs.
By Tapan Panchal; [email protected]
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