Paper Tiger
Posted by Admin on May 3, 2013 in NEWS | 0 comments
03/05/13
Virgin’s $35 million acquisition of Tiger Airways has now been signed, sealed, rubber-stamped and delivered by the ACCC. In a somewhat convoluted debate, Tiger’s Singaporean owners had suggested that they would shut down the airline if the deal did not proceed. Accordingly, the ACCC chairman found in favour of Virgin’s snatch and grab because, “Tiger Australia would be highly unlikely to remain in the local market if the proposed acquisition didn’t proceed.’’ And so, the domestic market backsteps into a duopoly once more although Tiger’s 11 A320’s will now likely remain in Australia allowing Virgin the opportunity to transform the fleet into an effective competitor for Jetstar.
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