Wednesday 12 October 2016 05:25 PM
Air NZ sells remaining stake in Virgin Australia
By Edwin Mitson
Oct. 12 (BusinessDesk) - Air New Zealand has sold its remaining stake in Virgin Australia for A$65.7 million.
In its monthly update to investors, the company said the sale was an off-market transaction with investors including the Nanshan Group.
In June, Air New Zealand sold its 19.98 percent stake in the airline to China's Nanshan Group, which owns Qingdao Airlines. It had said in March that it was considering sell its stake.
The Kiwi carrier had spent an estimated A$373 million building up and maintaining the Virgin stake since 2011, with today's sale suggesting it has taken a multi-million dollar loss on that investment.
Air NZ shares rose 1.7 percent, or 3 cents, to $1.80, having slumped by a third so far this year.