Rival bidder pulls out of Virgin Australia race

One of the major bidders fighting to take over Virgin Australia has pulled out of the race, leaving just one sole bidder.

Cyrus Capital Partners LP has confirmed it has withdrawn its offer for the collapsed airline, citing a “lack of engagement” by Virgin’s administrator Deloitte.

“The administrators have not returned calls, emails, or meaningfully engaged with Cyrus to progress its offer,” Cyrus’ founder and chief investment officer Stephen Freidheim said in a statement.


It continued by stating that an improved bid from the company, which was submitted on June 25 “received no response other than an acknowledgment of receipt.”

“I am disappointed that it has become necessary to withdraw our offer,” Mr Freidheim said.

However the company statement did say that they would be willing to re-instate the offer if administrators came to the party.

“Cyrus firmly believes that the Australian aviation industry has a bright future and would be willing to reinstate our offer if the administrators agree to re-engage in good faith, productive discussions.”

At this stage, the withdrawal leaves Bain Capital LP as the only bidder for the airline, with reports the company is preparing to sign a deal today.

Virgin Australia went into voluntary administration in April owing $6.8 billion.

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