Further to yesterday's announcement of the 3.96 per cent stake in Virgin Australia Holdings (VAH.AU) the holding company of Virgin Australia; Etihad Airways announced today a further equity stake in Virgin Australia Holdings with the current standing at 4.99 per cent. The United Arab Emirates national carrier confirmed its strong interest to build a larger stake subject to obtaining the necessary regulatory approvals. 

According to Etihad Airways "the equity investment in Virgin Australia’s domestic operations significantly strengthens the 10-year strategic partnership forged by the two carriers in August 2010 and will enrich the commercial benefits which the alliance already provides for both airlines as well as increasing the benefits to Australian consumers and visitors to Australia."

Etihad Airways has an equity stake close to 30 per cent in airberlin, Europe’s sixth largest airline, and 40 per cent in Air Seychelles 

Combined the two carriers, Etihad Airways and Virgin Australia operate 24 weekly flights between Abu Dhabi and Australia with passengers having the opportunity to access a network of more than 150 destinations. Last month Etihad Airways leased a Virgin Australia Boeing 777-300ER for use on its route between Abu Dhabi and Kuala Lumpur.

Etihad Airways commenced commercial flight operations to Australia in March, 2007 when it launched services to Sydney,  subsequently Melbourne and Brisbane were added. Approximately 2.2 million passengers have been carried between Abu Dhabi and the three destinations in Australia during last five years.About Etihad Airways.