Bain wins bid to buy ailing Australian airline Virgin

first_imgAdministrators for Virgin Australia said Friday they had accepted a bid from US private equity giant Bain Capital to buy the pandemic-felled airline.Officials at Deloitte said they had reached a deal with the Boston-based fund that “will result in the sale and recapitalization of Virgin Australia Holdings and its subsidiary businesses”.The deal is subject to regulatory approvals and is due to be completed by August. Topics : “Bain Capital has presented a strong and compelling bid for the business that will secure the future of Australia’s second airline, thousands of employees and their families and ensure Australia continues to enjoy the benefits of a competitive aviation sector.”The Transport Workers Union said it was “happy to work” with Bain “on the plan for getting the airline back on its feet”.Australian airlines — like their global peers — have ceased the vast majority of operations amid coronavirus-induced travel restrictions.Australians returning to the country face mandatory a 14-day quarantine and almost all non-residents are barred, under measures that also see many Australian states effectively closed to domestic travel.Virgin made around 1,000 staff redundant before the carrier went into voluntary administration in April while 8,000 others were furloughed, leaving just 1,000 still working.Qantas this week announced it would be cutting 6,000 jobs and grounding 100 planes for up to a year as it aims for US$10 billion in savings.Bain had faced competition from Cyrus Capital Partners, who reportedly withdrew their bid early Friday.center_img The Richard Branson-backed airline has struggled for years against larger carrier Qantas, which would have enjoyed a virtual monopoly if Virgin went out of business.The terms of the deal were not spelled out in full, but Bain had committed to “the retention of thousands of jobs”.The airline was more than Aus$5 billion (US$3.2 billion) in debt and had appealed for an Aus$1.4 billion loan to stay afloat, but the government refused to bail out the majority foreign-owned company.”This is an important milestone and a significant achievement,” said Joint Administrator Vaughan Strawbridge.last_img read more

First-time buyers ready for restoration dream

first_imgThe home at 38 Hunter St, Wooloowin.IT was a case of the first home buyer beating the developer for a change when a house in Wooloowin sold under the hammer recently.The two-bedroom home on an elevated 728sq m block at 38 Hunter St had been in the same family for eight decades before selling to a young couple for $890,500.Amanda Butler, of Butler and Co Estate Agents, said the buyers planned to restore the 1936 house and make it their dream family home.“The seller was happy about that,” she said.“It was very emotional for the seller but the time was right to move on.”More from newsFor under $10m you can buy a luxurious home with a two-lane bowling alley5 Apr 2017Military and railway history come together on bush block24 Apr 2019The auction attracted five registered bidders — a mix of developers and first home buyers.Ms Butler said developers had been keen on buying subject to conditions, but the auction format suited the young first-time buyers the best.The home had been marketed as an opportunity to either renovate or develop, given its zoning and proximity to schools, public transport and local amenities.It comes with all the original features you would expect from a property of that era, including ornate ceilings and dark hardwood floorboards.The large back deck offers views across the suburb and the range.Ms Butler said Wooloowin was a high-demand market given its location, just 6km from the CBD.According to data from CoreLogic, Wooloowin has a median house price of $735,500 and a median unit price of $479,000.last_img read more