Shares in Qantas Airways Limited (ASX:QAN) lifted at the end of last week amid renewed reports the company is mulling a demerger of its Frequent Flyer division.
Australia’s largest airline has been at the centre of speculation claiming it is considering spinning off its loyalty scheme and current investors could be given shares in the new listed entity.
The reports come ahead of Qantas’ full year results next month which are expected to reveal further write downs on the back of a continued drive to trim staff and costs.
The Frequent Flyer program is understood to be valued at about $2.4 billion while the company’s market capitalisation currently sits at $2.82 billion.
Qantas was the best performing stock in the S&P/ASX 200 at the end of last week, lifting 6.64 per cent to close at $1.28 on Friday.
Qantas Airways reported a net loss of $235 million in the first half of the 2014 financial year.
