March 24, 2016
Virgin America is reportedly considering selling all or part of the company. The Burlingame-based airline hired an unnamed financial advisor to seek out potential buyers after receiving takeover interest.
Analysts and consultants speculated carriers such as JetBlue and Delta Air Lines Inc. may be interested in owning Virgin America. But given the current “hostile” regulatory environment towards further U.S. airline industry consolidation, a likely suitor could come from private equity firms or travel-related companies.
After the sale report surfaced, shares in Virgin America rose 13 percent to $34.72, valuing the company at about $1.5 billion. The company, which is backed by billionaire Sir Richard Branson, started flying out of San Francisco International Airport in 2007, and went public in November 2014.