SIA mulls offloading 49% stake in Virgin Atlantic

US carrier Delta could bid on it.

Singapore Airlines has confirmed it is in talks about offloading its 49% stake in Virgin Atlantic shares but is keeping quiet about possible suitors, notes BBVA, and that rumors "are growing" that US carrier Delta will make a bid for the shares.

SIA acquired the stake for £600 million back in 1999.

"Looking at the loss-making Virgin now it would be hard to see it making much profit on that investment if it were to sell up now. So any offer from Delta or a rival carrier would need to be compelling enough for SIA to consider. The big attraction lies in the Heathrow landing slots that Virgin owns," said BBVA.