MIAMI – Crawley, England-based airline Virgin Atlantic (VS) is in talks for securing a further £160m in funding, according to Sky News.
The airline eventually received £1.2bn in emergency funding while operating crucial cargo service transporting medical supplies.
A Necessary Injection
Around £100m of the £160m is set to come in the form of a loan from the Virgin Group, the majority owner of the airlines. The remaining £60m is set to come from creditors in the form of deferrals designed to alleviate pressure on cashflows.
In a statement to Sky News, a VS spokesperson said that the “latest £160m financing provides further resilience against a slower revenue recovery in 2021 and follows a US$230m financing on two Boeing 787s in January, which allowed us to pay down debt and strengthen our cash position.”
Such backing seems to have come at an important time with British Prime Minister Boris Johnson announcing a plan to “give people time to make plans for summer” by potentially resuming international travel options by mid-April.
With a potential for the number of international travel to increase along with enhanced financial backing, VS seems poised for a post-pandemic recovery.
Featured image: Virgin Atlantic Boeing 787-9 Photo: Brandon Farris/Airways