Virgin Australia Holdings Limited (ASX:VAH) has received the green light from Australian regulators to sell an interest in its Velocity Frequent Flyer program.
The Foreign Investment Review Board (FIRB) will allow Australia’s second largest carrier to sell a 35 per cent stake to investment firm and fund manager Affinity Equity.
Virgin flagged the sale in August at the same time it widened its an annual net loss by more than triple from the year before.
The airline expects the transaction to be completed by the end of October after which it plans to accelerate the growth of the frequent flyer program.
Virgin Australia Holdings reported a net loss of $356 million in the 2014 financial year.
