Emirates (EK, Dubai International) will be courted as a potential investor for Qantas (QF, Sydney Kingsford Smith) Australian Minister for Trade and Investment, Andrew Robb, has said. Al Arabiya News quotes Robb as saying he would personally raise the possibility of an Emirati investment in the Australian national carrier during high-level talks with Sheikh Ahmed Bin Saeed al-Maktoum, chairman of Emirates.
“In time, it’s the only solution to make sure that the Qantas brand and its viability remains very strong," the Minister said. “I am meeting with the head of Emirates. And I will give him the same answer, that the new government [wants] to see viable airlines... In the case of Qantas I think it requires a change in the ownership act and the potential for other entries into the ownership. We want to create the right environment that allows that to happen.”
Emirates entered into an alliance with Qantas in March 2013, but has in the past ruled out an equity stake in the troubled Australian carrier.
On the back of a half-year loss of AUD235million (USD221million), Canberra has begun reviewing legislation that restricts foreign investment in Qantas in the form of the Qantas Sale Act. In light of the growing threat from Virgin Australia (VA, Brisbane International), which counts Air New Zealand (NZ, Auckland International), Singapore Airlines (SQ, Singapore Changi) and Etihad Airways (EY, Abu Dhabi International) as its shareholders, Qantas management has said greater foreign investment in the carrier could be a panacea to its viability problems.
