But Virgin Australia, owned by Sir Richard Branson's Virgin Group, still has an ace up its sleeve in the form of its subsidiary Tigerair.

In May 2016, HNA Group (part owner of Hainan Airlines), announced plans to purchase a 13% stake in Virgin Australia Holdings, which if approved will see existing owners' shares diluted. Air New Zealand's stake would become 22.5%, Etihad would hold 21.8%, Singapore Airlines 20.1% and Virgin Group 8.7%.[16] A month later Air New Zealand sold 19.9% of VAH to Nanshan Group (majority owner of Qingdao Airlines);[17] and in October, Air New Zealand sold its remaining 2.5% of VAH to Nanshan Group (majority owner of Qingdao Airlines).[18] A month later Virgin Australia CEO John Borghetti wrote to the airline's pilots to reassure them the airline was in a sound financial position following publication of a report suggesting the airline was approaching insolvency.[19][20]

Qantas and Air New Zealand business class passengers and top-tier frequent flyers will enjoy reciprocal airport lounge access, while travellers will also be able to earn points and status credits in each airline's respective loyalty program on flights booked under the appropriate codeshare.