Lufthansa Wants to Sell BMI

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Viewing 15 posts - 46 through 60 (of 62 total)

  • Travellator
    Participant

    Jethro – TRUE !!!!!!

    My booking was made on Sunday 27th for travel January 20th

    Might be just another BMi web site disaster but maybe ominously not !

    Might try phoning Delhi to see if I can make one that way cos got a shed load of miles !


    Travellator
    Participant

    JETHROTULL – Redemption seats BHD/LHR now back online – loads of availability !


    ChrisBuda82
    Participant

    Any one herd any new news about the Sale to BA, Branson is a crap just in it for the fast buck, he would have sold all of VA if he could have.


    LeTigre
    Participant

    I’m afraid there’s been no news of late, however within the next couple of weeks I expect there to be an outcome.


    Hippocampus
    Participant

    IAG is carrying out “due diligence” on bmi. However, it is not yet in a position of exclusivity.


    LPPSKrisflyer
    Participant

    VS seem to have gone very quiet. I was reminded a couple of days ago about the scenario in 1992 when Dan Air was failing. Their LGW operation was seen as perfect to dovetail with VS who were much more LGW focussed at the time. Branson did his usual but failed to put up the money. In the end DA was sold to BA for a penny plus their debts and Branson still ranted on the sidelines.

    As LH are likely to want more than that for BD I don’t see VS going anywhere with an offer.


    Henkel.Trocken
    Participant

    Of course I now remember the whole business about the take over of Dan Air, it just shows how long Branson has been playing the same old tune and yet never putting his money where his mouth is.

    Over promise and underdelivery being the prime quality of Virgin, you can see where it comes from.


    DisgustedofSwieqi
    Participant

    Reuters confirm Virgin also have agreement in principle with LH

    http://www.reuters.com/article/2011/12/12/uk-bmi-virginatlantic-idUSLNE7BB02P20111212


    VintageKrug
    Participant

    It’ll never happen.

    Certainly an opportunity to have a nose around under the covers under the guise of due diligence.


    Hippocampus
    Participant

    If Virgin really are serious about taking on bmi, then good luck to them, because they’ll need it.

    I don’t doubt that they will do everything possible to block an acquisition by IAG. However, I just can’t envisage Virgin managing to merge with bmi and make the combined entity a profitable successful business.


    ChrisBuda82
    Participant

    Virgin Atlantic buying BMI would be the worst thing happing to BMI, From what I herd that if BA buy BMI the jobs are safe for the crew and the airline, LH are not selling the HQ to a Seller only jobs at risk would be the I do not known how many jobs they would keep from the HQ.

    This more about Virgin Atlantic doing PR and Richard Branson trying to be the good guy when he is not.


    LeTigre
    Participant

    A newly merged Virgin Midland would definitely require significant capital investment. It is impossible to predict the outcome at this stage as there are too many factors to consider, such as:
    -How would VA be managed after the merger
    -What routes would be dropped
    -Would there be a focus on emerging markets
    -How would enough aircraft be acquired
    -Where is VA getting the money (if this is debt only, collapse is on the cards)
    -Will VA simultaneously join the star alliance (let’s face it, the’re not going to choose any other)

    So many questions…


    BeckyBoop
    Participant

    Richard Branson is one of the worlds richest men worth billions all self made surely he has the money or does he have bad credit rating? a lot of my friends prefer to fly virgin to ba when they go on holiday even my parents. Virgin are still flying and Branson still smiling I cant see why this is not a viable option tor them to win the deal xx


    Bullfrog
    Participant

    I am a great fan of BA & Virgin.

    BA could succeed in integrating BMi into the current BA network.

    If Lufthansa can’t make BMi work for them, I can not see how Virgin can do any better. Pretty obvious to me.


    pixelmeister
    Participant

    Um… Becky, whilst Mr B may have pots of cash, running an airline is not a philanthropic exercise. Remember, Mr B’s bank account benefits from the fact that he sold half of Virgin to Singapore. Moreover, any purchase by Virgin of BMI would need to be either funded by the Virgin Group or be funded wholly be Virgin Atlantic. Now, Virgin Group have other fish to fry with the purchase of Northern Rock, which will absorb a fair amount of cash, which kinda puts the ball firmly in the Virgin Atlantic court.

    Now, it all depends on how desperate LH are to shed BMI. The snag is that as a limited company, they have a duty to maximise the return for their shareholders. Now according to the press, Virgin’s bid is half that of BA. On the face of it, unless the losses from BMI are so catastrophic that the delay incurred by the Competition commission would wipe out 50% of the value of the BA bid, LH are almost certain to dismiss the Virgin offer. If, on the other hand BMI is losing money hand over fist, then Virgin will be successful, however, the purchase is likely to be financially crippling. There is a distinct possibility that a Virgin BMI tie up could be the death knell for Virgin. IAG would then be able to walk in and clean up.

    The Virgin bid should be seen for what it is – a publicity stunt and a bit of a spoiler. The hope would be that IAG is forced to up the ante.

Viewing 15 posts - 46 through 60 (of 62 total)
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