Air France-KLM to Acquire 31% Stake in Virgin Atlantic

The Air France-KLM Group will acquire a 31 percent stake in Virgin Atlantic, currently held by Virgin Group, for £220 million.

The acquisition is part of an enhanced joint venture between Delta, Air France- KLM and Virgin and is expected to establish a combined partnership with a duration of at least 15 years.

Virgin Group’s share will now decrease from 51 percent to 20 percent, while Delta will retain its 49 percent share.

All transactions are subject to execution of definitive agreements and receipt of final shareholder, board, and regulatory approvals. Virgin Atlantic would retain its independence as a UK airline with a UK operating certificate, and will continue to fly under the Virgin brand.

In a joint press release, the airline companies said the enhanced joint venture — that also includes Alitalia — would offer convenient flight schedules with competitive fares and reciprocal frequent flyer benefits, including the ability to earn and redeem miles across all carriers.

The venture will offer more than 300 daily nonstop transatlantic flights and increase competitive routings with offerings across key business markets including Amsterdam, Atlanta, Boston, Cincinnati, Detroit, Los Angeles, London Heathrow, Minneapolis-St Paul, New York-JFK, Paris-CDG, Salt Lake City and Seattle.

“With our partners Delta and Virgin Atlantic, we are pleased to reinforce our transatlantic partnership, offering our customers even more choice between Europe, UK and the United States via twelve hubs on both sides of the Atlantic, Jean-Marc Janaillac, CEO, Air France KLM, said.

Discover The World Greece is the general sales agent (GSA) of Virgin Atlantic in Greece.