Virgin Group chairman Sir Richard Branson is continuing talks to merge Virgin Express with SN Brussels Airlines and expects to make a decision soon.
Branson, who holds 88.6% of Virgin Express with his family through Virgin Group subsidiaries, confirmed that talks were at a "reasonably advanced" stage. The group has been in discussions with SN Brussels' parent SN Air Holdings since September.
"A decision will be taken within three to four months time," confirms a Virgin Group spokesman. He adds that Virgin would retain an equity stake: "It would be a merger rather than a sale."
The two companies initially held merger talks in late 2001, early 2002 during the rebranding of Delta Air Transport, a former subsidiary of bankrupt Belgian national carrier Sabena, as SN Brussels Airlines.
At the time SN Brussels chairman Rob Kuijpers said Virgin Express wanted to have a 49% shareholding in the merged company. The SN Air Holding shareholders disagreed with this.
The Virgin Group spokesman says circumstances have changed from two years ago when SN Brussels was a "paper airline" and still in the early stages of its business plan.
Source: Flight Daily News
