BA-Qantas in merger talks
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British Airways (BA) has said that it is in talks with Qantas that could see a merger of two of the world’s most prestigious airlines, CNN has reported. BA described the talks as “exploratory” and that it is looking at creating a dual-listed company, but offered no other details.
“There is no guarantee that any transaction will be forthcoming and a further announcement will be made in due course if appropriate,” BA said in a statement.
BA added that the talks would not affect its negotiations in Spanish airline, Iberia, with which it is already discussing a revenue deal with American Airlines, according to the report. Both Qantas and BA are partners in the oneworld alliance.
Yesterday’s announcement by BA comes after the Australian government revealed that it plans to increase the level of foreign ownership permitted in Qantas, the Sydney Morning Herald reported. Under current Australian law, Qantas must be at least 51% Australian-owned, while a single foreign airline can only own up to 25% of it.
Australia’s Transport Minister, Anthony Albanese, yesterday proposed that the rules be changed so an individual foreign airline may own all the remaining 49%.
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