Tiger Airways and Virgin Australia have extended the timeline for Virgin to complete its purchase of a 60% stake in Tiger Airways Australia, following the recent approval from Australia's competition regulator.
The two airlines had previously expected to complete the A$35 million ($36 million) share sale by the end of June this year. However, the transaction is now due to be completed by mid-July, Tiger said in a statement on the Singapore Stock Exchange.
The extension will give the carriers more time to seek other approvals, including that from Australia's Foreign Investment Review Board, which are necessary for the share sale to become a binding agreement.
Virgin announced its intention to take a 60% stake in Tiger Australia and transform it into a joint venture in October last year, but faced delays in getting approval from the Australian Competition and Consumer Commission (ACCC).
The ACCC repeatedly cited concerns that the arrangement would lead to a substantial lessening of competition in the Australian aviation industry, but it granted approval on 23 April.