There was huge news in the aviation industry this week when it was revealed that both Virgin Atlantic and Stobart Air could takeover Flybe. Now, Simple Flying has learnt that Virgin Atlantic’s fleet size will triple following a Flybe acquisition. The deal will see Flybe sold for £2.2 million, just 0.7% of the £300 million it was listed for. Despite the huge difference in price, Flybe has recommended that shareholders approve the deal. This was a move which caused shares in Flybe to fall by 90%. Virgin would then own a share of Flybe, in addition to Stobart Air and Cyrus. Connect Airways will be the name of the new undertaking.
Tripple Fleet Size
Currently, Virgin Atlantic’s long-haul fleet comprises of 47 Boeing and Airbus aircraft. While made up of only widebody aircraft, this is a mix of aircraft from the A330, all the way up to the B747 and B787. Additionally, the 274th A350 is expected to be delivered to Virgin Atlantic, adding to the diversity of the airline’s fleet.
However, following the takeover of Flybe, the airlines’ fleet will become drastically more diverse. As it stands, Flybe operates a fleet of 78 regional aircraft. This mainly comprises ATRs, Bombardiers, and Embraers. As each of the aircraft will be repainted in Virgin’s red and white colour scheme, there will be a total of 125 Virgin Aircraft.
Second Attempt At Short Haul
Flybe won’t be Virgin’s first voyage into the short-haul market. In fact, Virgin’s previous failed attempt was called “Little Red”. Little Red was created in 2012 as Virgin attempted to connect domestic passengers to its long haul routes. Through four A320 wet-leased from Aer Lingus, Virgin operated flights from Aberdeen, Edinburgh and Manchester.
While the airline was intended to provide competition to British Airways following the fall of BMI, it didn’t last long. In fact, just three years after it was founded, the subsidiary was wound down in September 2015. Virgin sold three Heathrow slots from the failed Little Red project to Flybe, so they will regain access to these in the purchase.
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Virgin Atlantic already has partnerships in place with a number of airlines. While it is a member of EasyJet’s “Worldwide by EasyJet” program, the airline also had a partnership in place with Flybe. Simple Flying previously reported as the Virgin has a number of codeshares in place with Flybe, it is in the airline’s interest for the airline to stay afloat. Additionally, Virgin Atlantic has an existing trading relationship in place with Flybe.
What do you make of Virgin’s Flybe takeover? Are you excited to see regional aircraft in the Virgin livery? Let us know in the comments down below!