Qatar Airway Virgin Australia deal approved, Treasurer Jim Chalmers confirms 25 per cent acquisition
Qatar Airways’ acquisition of a 25 per cent stake in Virgin Australia has been approved by the federal government subject to conditions.
Treasurer Jim Chalmers announced the approval on Thursday, saying the proposal would deliver more flights for Australians, create Australian jobs and strengthen competition in the aviation sector.
“My decision aligns with the advice of the Foreign Investment Review Board (FIRB) that this proposal is consistent with the national interest,” he said in a statement.
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By continuing you agree to our Terms and Privacy Policy.The government approval followed cross-government consultation by Treasury, engaging the aviation industry, unions and other relevant stakeholders.
It follows the draft determination by the Australian Competition and Consumer Commission to allow the airlines to engage in co-operative conduct under an integrated alliance for five years, leading to 28 new weekly return services between Doha and Perth, Brisbane, Sydney and Melbourne.
Mr Chalmers said he had approved the proposal subject to legally enforceable conditions to ensure Australian representation on Virgin’s board and protection of its customer data.
“The CEOs of Virgin Australia and Qatar Airways have written to me with assurances that this investment will create employment benefits and job growth opportunities for Australians,” he said.
The proposal is expected to provide a long-term pathway for Virgin Australia to operate its own long-haul flights.
