Air NZ and Qantas back in talks

By Phil Boeyen, ShareChat Business News Editor

Monday 10th September 2001

Qantas is lining up as a possible buyer of Air New Zealand's (NZSE: AIRVA) troubled Ansett subsidiary.

Air New Zealand says it has offered to sell Ansett to Qantas and has entered into discussions with the rival Australian airline.

Acting Air NZ chairman, Jim Farmer, says Ansett is continuing normal operations and Qantas and Air New Zealand will continue discussions over the next few days on the terms of any acquisition of Ansett by Qantas.

"Any transaction would be subject to due diligence and approvals of the Australian and New Zealand Governments and regulatory approvals, including that of the Australian Competition and Consumer Commission.

"The Board of Air New Zealand expects to be able to make an announcement on the progress of the discussions with Qantas on, or before, Thursday 13 September when the company is due to present its annual results.

"Meantime, Air New Zealand, its major shareholders, Brierley Investment Limited and Singapore Airlines Limited, and the New Zealand Government are continuing to negotiate in good faith to finalise arrangements to provide on-going financial support for the operation of Air New Zealand international and domestic airlines operations," Dr Farmer says.

Earlier Monday the airline said it had already been in talks with Qantas but had stopped these after concerns were voiced by the ACCC.

Comments from our readers

No comments yet