Latest news with #PeterWarne
Iraqi News
8 hours ago
- Business
- Iraqi News
Virgin Australia surges in market comeback
Sydney – Virgin Australia climbed sharply as it re-entered the local share market Tuesday, a dramatic comeback from near bankruptcy more than four years ago. A 30-percent chunk of Virgin Australia, one of the few domestic rivals to Qantas, was sold in an initial public offering this month at Aus$2.90 a share to raise Aus$685 million (US$444 million). The price values the entire airline at Aus$2.3 billion. The stock, which listed on the Australian Securities Exchange at noon, climbed 8.6 percent from the offer price in the first five minutes of trade. US private equity giant Bain Capital came to the airline's rescue in late 2020 after the Australian government refused to bail it out as the Covid-19 pandemic brought international travel to a standstill. 'Today marks the start of an exciting new chapter for Virgin Australia as a publicly listed company,' said airline chairman Peter Warne. 'Our listing reflects the remarkable work undertaken over the past five years to transform the airline and position it for long-term success,' he said in a statement. After selling a 30-percent stake in Virgin Australia in the initial public offering, Bain now holds about 40 percent of the airline. Qatar Airways bought a 25 percent share in the carrier this year. Qatar's entry injected a dose of foreign competition against Australia's dominant carrier Qantas and its budget offshoot Jetstar, which together carry more than 60 percent of domestic passengers. 'We are proud of how far we have come and energised by the opportunities ahead as we continue to realise our ambition of being Australia's most loved airline,' Virgin Australia chief executive Dave Emerson said.
Perth Now
9 hours ago
- Business
- Perth Now
Virgin soars in 'luckiest' Aussie share debut of year
Virgin Australia has returned to the stock market with a transaction that timed its arrival perfectly. Shares in the nation's second-biggest airline were changing hands at $3.165 on Tuesday afternoon, up 9.1 per cent from their $2.90 listing price. Virgin shares began trading under the ticker code VGN at noon, hours after word of a likely ceasefire between Iran and Israel sent oil prices tumbling. "Until yesterday there were concerns the airline's IPO was hitting the market at the wrong time, but the overnight action has changed everything," Moomoo market strategist Michael McCarthy said. "Now, with risk appetites rising and oil prices dropping as fears of war recede, Virgin might be the luckiest debutant of the year." Jet fuel typically is the biggest operational expense for any airline, typically representing around 30 per cent of all costs, according to the International Air Transport Association. As with petrol, the price of the refined fuel is closely linked to the price of crude oil, which fell sharply at a possible end to the Middle East hostilities. Virgin's pre-existing owners - including US investors Bain Capital, Qatar Airways Group, Virgin Group and the Queensland Investment Corporation - sold a 30.2 per cent stake in the airline for $685 million, giving it a market capitalisation of $2.3 billion based on the offer price. Its chief rival, Qantas, was valued at more than $15 billion on Tuesday. Virgin collapsed into voluntary administration at the start of the COVID-19 pandemic in April 2020, owing $7 billion to more than 12,000 creditors. It was acquired by Bain in November of that year for $700 million before being delisted from the stock market and restructured. "Today marks the start of an exciting new chapter for Virgin Australia as a publicly listed company," Virgin Australia chairman Peter Warne said. "Our listing reflects the remarkable work undertaken over the past five years to transform the airline and position it for long-term success. "It is great news not just for our people, but for travellers who rely on Virgin Australia being a strong, resilient and competitive airline." Virgin Australia chief executive Dave Emerson said the airline was entering its next phase with a clear strategy, simplified operating and commercial models and strong team. Staff were being offered $3,000 "take-off grants" that would convert to ordinary shares if they remained with the company during a 24-month vesting period in recognition of their contributions to the airline's success, he said. Virgin flies a fleet of more than 100 aircraft on 76 domestic and short-haul international routes. Earlier in June, it began long-haul services between Australia and Doha under a "wet lease" agreement with Qatar Airways. Under such deals, the lessee provides the plane and crew, while the lessor sells the tickets and markets the flights.
France 24
11 hours ago
- Business
- France 24
Virgin Australia surges in market comeback
A 30-percent chunk of Virgin Australia, one of the few domestic rivals to Qantas, was sold in an initial public offering this month at Aus$2.90 a share to raise Aus$685 million (US$444 million). The price values the entire airline at Aus$2.3 billion. The stock, which listed on the Australian Securities Exchange at noon, climbed 8.6 percent from the offer price in the first five minutes of trade. US private equity giant Bain Capital came to the airline's rescue in late 2020 after the Australian government refused to bail it out as the Covid-19 pandemic brought international travel to a standstill. "Today marks the start of an exciting new chapter for Virgin Australia as a publicly listed company," said airline chairman Peter Warne. "Our listing reflects the remarkable work undertaken over the past five years to transform the airline and position it for long-term success," he said in a statement. After selling a 30-percent stake in Virgin Australia in the initial public offering, Bain now holds about 40 percent of the airline. Qatar Airways bought a 25 percent share in the carrier this year. Qatar's entry injected a dose of foreign competition against Australia's dominant carrier Qantas and its budget offshoot Jetstar, which together carry more than 60 percent of domestic passengers. "We are proud of how far we have come and energised by the opportunities ahead as we continue to realise our ambition of being Australia's most loved airline," Virgin Australia chief executive Dave Emerson said.
Yahoo
11 hours ago
- Business
- Yahoo
Virgin Australia surges in market comeback
Virgin Australia climbed sharply as it re-entered the local share market Tuesday, a dramatic comeback from near bankruptcy more than four years ago. A 30-percent chunk of Virgin Australia, one of the few domestic rivals to Qantas, was sold in an initial public offering this month at Aus$2.90 a share to raise Aus$685 million (US$444 million). The price values the entire airline at Aus$2.3 billion. The stock, which listed on the Australian Securities Exchange at noon, climbed 8.6 percent from the offer price in the first five minutes of trade. US private equity giant Bain Capital came to the airline's rescue in late 2020 after the Australian government refused to bail it out as the Covid-19 pandemic brought international travel to a standstill. "Today marks the start of an exciting new chapter for Virgin Australia as a publicly listed company," said airline chairman Peter Warne. "Our listing reflects the remarkable work undertaken over the past five years to transform the airline and position it for long-term success," he said in a statement. After selling a 30-percent stake in Virgin Australia in the initial public offering, Bain now holds about 40 percent of the airline. Qatar Airways bought a 25 percent share in the carrier this year. Qatar's entry injected a dose of foreign competition against Australia's dominant carrier Qantas and its budget offshoot Jetstar, which together carry more than 60 percent of domestic passengers. "We are proud of how far we have come and energised by the opportunities ahead as we continue to realise our ambition of being Australia's most loved airline," Virgin Australia chief executive Dave Emerson said. djw/pst Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
West Australian
06-06-2025
- Business
- West Australian
Virgin Australia confirms long-awaited return to ASX with $685m IPO
Virgin Australia has confirmed long-awaited plans to launch a near-$700 million initial public offering and re-list on the Australian Securities Exchange. Following days of market speculation, Australia's second-biggest airline issued a prospectus on Friday, with the offer period running between June 16 and June 19. Shares are expected to start trading on June 24 under the ticker VGN. The fully underwritten IPO of 236.2 million shares is priced at $2.90 apiece and is expected to raise $685m, valuing the airline at just over $2.3 billion. Under the float, Virgin's US private equity owner Bain Capital's shareholding will drop from about 70 per cent to 40 per cent, while minority shareholder Qatar Airways will retain its 25 per cent stake. The return to the boards comes after the nation's competition regulator in March cleared Virgin and Qatar's five-year partnership allowing the Australian airline to use Qatar aircraft and crew to operate new services under a so-called 'wet lease' arrangement. From next week, Virgin will return to long-haul flights between Doha and Perth, Brisbane and Sydney. Flights to and from Melbourne will start in December. Bain bought Virgin in 2020 after the airline crashed into administration with billions of dollars worth of debt following the onset of the COVID-19 pandemic. Over the past few years, it has made several attempts to get Virgin back on to the ASX. Virgin chief executive Dave Emerson on Friday said the airline was a simple, focused business with a transformed operational and commercial model. 'We have a clear strategy and an incredible team of people who deliver wonderful flying experiences to our customers every day,' he said. 'We are delivering on our ambition to be Australia's most loved airline and continuing to expand our award-winning Velocity frequent flyer program.' Virgin chair Peter Warne said it was an appropriate time for the business to transition to a publicly listed company. 'This provides an opportunity for new investors to share in the success of Virgin Australia as the airline enters its next phase,' he said. 'I commend all those involved in orchestrating Virgin Australia's remarkable turnaround and setting the business up for long-term success.'
