press-releases Virgin Atlantic confirms bmi takeover talks

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Virgin Atlantic confirms bmi takeover talks

Virgin Atlantic has confirmed that it is interested in taking over bmi

Virgin Atlantic has confirmed that it is interested in taking over bmi after in entered into talks with the airline’s majority owner, Lufthansa.

The news comes at a turbulent time for the airline industry, with reports last week revealing that British Airways (BA) wanted to create the world’s largest airline in a merger with Australian national carrier Qantas.

Not wishing to give a great deal away, a statement from Virgin Atlantic published yesterday (December 10th) said: "These discussions may or may not lead to an agreement and a further announcement will be made in due course."

The airline’s chief executive, Steve Ridgway, has previously told Reuters that linking up with bmi offers a "very compelling opportunity" and would allow Virgin Atlantic to compete more effectively with Heathrow’s strongest airline presence, BA.

It is understood that the takeover is attractive for the transatlantic carrier because its long-haul flights would complement bmi’s short-haul services, of which it specialises in.

Virgin Atlantic recently began a second flight between Hong Kong and London, increasing the frequency to three times a week. The latest service came into operation on October 28th.

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