Qatar Airways said to seek 20% stake in Virgin Australia

Qatar Airways is in talks to acquire about 20% of Virgin Australia Airlines Pty, people familiar with the matter said, a deal that would grant the Gulf carrier access to a market where its expansion plans were scuppered by the government last year. Negotiations between Qatar Airways and Virgin Australia’s owner, Bain Capital, may still take some time to finalize or could break down, said one of the people, who asked not to be identified discussing private matters. An investment by Qatar Airways would require Australian government approval. Qatar Airways and Bain Capital declined to comment. Virgin Australia deferred questions about the matter to Bain Capital. Bain last year postponed plans for an initial public offering of Virgin Australia, and earlier this year announced Jayne Hrdlicka will step down as CEO once a replacement is found. A request by Qatar Airways to operate more routes to Australia was rejected in 2023. The airline has complained that decision was unfair, pointing to its operations to repatriate Australian citizens during the pandemic. Regional rival Turkish Airlines made its Australian debut this year via Singapore. Emirates has also increased operations to the continent, highlighting demand for long-haul services from the Middle East. The Australian Financial Review, which reported the talks earlier, said Qatar Airways’ interest could be announced as early as next week. <br/>