MELBOURNE, July 8 (Bernama) -- Virgin Australia has completed the purchase of a 60 per cent stake in Tigerair Australia.
Virgin Australia chief executive John Borghetti said the acquisition, which was announced in October 2012, had been completed on Monday.
Following the acquisition, Borghetti will be appointed chairman of Tigerair Australia, The Australian Associated Press reports.
Borghetti said the stake in Tigerair Australia would allow Virgin to re-enter the budget travel market.
"We are very pleased to partner with Tigerair in Tigerair Australia and we look forward to working together to expedite its growth," he said.
Tigerair Australia chief executive officer Rob Sharp said the deal would help the airline to become a sustainable budget carrier.
"We are now well placed to build on the foundations of Tigerair Australia, ensuring it has the right scale to compete effectively," he said.