Press: Qantas CEO to stay despite bid failure

Qantas Airways CEO Geoff Dixon plans to remain as the company’s head despite supporting a failed 11.1 bln aud private equity offer for the company, The Australian newspaper reported, citing Dixon. Dixon said he believes that the takeover, although it had failed, has endorsed the strength of management’s existing plans and strategies.

A Macquarie Bank Ltd led consortium offered 11 bln aud to takeover the Australian flag carried but conceded on Tuesday that its offer, priced at 5.45 aud a share, had failed.

The Australian reported Dixon as saying Qantas management will now push ahead with plans including the expansion of the company’s low-cost airline Jetstar and growing the airline’s frequent flyer program as well as buying into overseas carriers and developing the freight business.

‘The bidders made it very plain that they were making the offer for Qantas to implement the strategic plan Qantas was undertaking,’ Dixon told The Australian.

The consortium, called Airline Partners Australia, comprised Australia’s Allco Finance Group Ltd and Allco Equitypartners, US buyout firm Texas Pacific Group and Canada’s Onex Corp as well as Macquarie Bank Ltd.