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Virgin Express and SN Brussels set to merge
Virgin Express and SN Brussels have signed a letter of intent to merge. The airlines signed the agreement on Monday. If the merger is completed the airlines will remain separate entities but will be jointly managed by a holding company. The airlines envisage maintaining two separate brands to serve the Belgian market – one flexible full service airline and one low fares airline. The owners of SN Brussels, SN Airholding, says it will ensure there is no consumer confusion between the brands. The deal would involve an exchange of shares whereby a holding company would own a 100% share in Virgin Express and a 92% share in SN Brussels – the remaining 8% to continue be held by the SIC. This doesn’t mean that Richard Branson would lose control over his carrier – in a statement released by Virgin Express earlier this month, the airline stated that should a merger go ahead, Mr Branson would continue to be the largest shareholder. Report by Ginny McGrath
Ginny McGrath
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