Etihad to join Virgin’s bid for BMI?
16.10.11
Etihad Airways has held talks with Virgin Atlantic about a partnership should Virgin bid for BMI, according to a report in the Financial Times. State-backed Etihad would be unable to make a bid of its own due to foreign ownership rules, but a joint bid by Etihad and Virgin would allow the Abu Dhabi carrier to tap into BMI ’s short and medium long-haul network.
As reported yesterday, Virgin Atlantic and IAG, the holding company of British Airways and Spain’s Iberia, have both said they are interested in buying BMI. Virgin had been reported to be proposing a merger with BMI, whereas IAG would buy BMI outright. However, with the financial resources of Etihad, perhaps Virgin could offer to buy BMI too.
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