Virgin Australia gets court approval for Skywest takeover

Singapore
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Virgin Australia has received approval from Singapore's High Court for its proposed takeover of Australian regional carrier Skywest.

The court approved the acquisition of Skywest's cash and shares following a hearing on 26 March. This was required as Skywest's holding company is based in Singapore.

Virgin says that the offer is still "subject to certain conditions", but should become effective from 11 April.

Under a timeline previously revealed by Skywest, its shares will enter a trading suspension on 27 March and be delisted from 12 April.

Virgin will then pay the cash component of its offer on 19 April, while full trading of the Virgin shares granted to Skywest shareholders will start from 22 April.

Virgin made its takeover offer in late October 2012, and has received clearance from Skywest shareholders and the Australian Competition and Consumer Commission to acquire the Perth-based carrier.

Following the takeover, Skywest will continue to operate as a separate company with its own air operator's certificate, but the carrier will assume the Virgin branding across its operations.

Skywest operates a fleet of 19 aircraft under its own brand, including Fokker 100s, Fokker 50s and a single Airbus A320. It also operates 11 ATR 72s for Virgin Australia.