Etihad Airways boss James Hogan says the airline is still eyeing Virgin Australia with a view to taking a cornerstone stake.
Etihad has taken substantial holdings in Air Berlin and Air Seychelles in recent months, but is unable to take a stake in Virgin because Australia’s second-largest airline is close to hitting its 49% foreign ownership limit.
Sir Richard Branson’s Virgin Group has a 26% holding and Air New Zealand 20%.
Hogan told The Age, ”We have been very clear that if stock became available in Virgin Australia, we would invest in Virgin Australia.
“But at the moment, due to the foreign ownership limits, that has maxed out.”
Etihad and Virgin gained regulator approval last year for a close alliance on the Australia-Abu Dhabi route.
