Air NZ confirms wants to up stake in Virgin Australia

WELLINGTON (REUTERS) - Air New Zealand confirmed on Tuesday it is considering increasing its stake in Virgin Australia Holdings by up to 3 percent, which would boost its stake in the airline.

Such an acquisition would take the stake in Virgin Australia held by Air New Zealand to around 26 percent, after it raised its stake in the Australian airline to 22.99 percent earlier this month.

In an investor update, Air New Zealand added that it had no intention of obtaining control of Virgin Australia, and was not seeking a position on its board.

Virgin Australia's other major shareholders are Virgin Group with 22.37 percent and Singapore Airlines with 19.9 percent.

Shares in Air New Zealand, around 74 percent owned by the New Zealand government, last traded steady at NZ$1.45.

Follow ST on LinkedIn and stay updated on the latest career news, insights and more.