Apollo and Virgin Atlantic have completed a $745 million senior secured financing agreement backed by the airline’s portfolio of take-off and landing slots at London Heathrow Airport, one of the world’s busiest aviation hubs. The transaction was executed through Apollo-managed funds and affiliates and is intended to provide significant liquidity support for Virgin Atlantic’s long-term growth strategy.
The new capital strengthens Virgin Atlantic’s balance sheet and backs continued investment in its premium customer experience. The airline will fully refurbish its Boeing 787-9 fleet starting in 2028, introducing upgraded interiors and expanding both Upper Class and Premium cabins. Starting in the third quarter of 2026, Virgin Atlantic will also introduce ten Airbus A330neo aircraft featuring larger premium cabins and six Retreat Suites. The financing will support the airline’s commitment to service innovation, including its plan to roll out free, streaming quality Starlink Wi-Fi across the entire fleet.
The financing reflects Apollo’s focus on tailored capital solutions for global businesses. It demonstrates sustained investor confidence in Virgin Atlantic as it enhances its product offering and prepares for its next phase of growth. Supporting advisors on the transaction included Gibson Dunn as legal counsel to the Apollo-managed funds, Apollo Capital Solutions Europe B.V. for arrangement services, Redding Ridge Asset Management for rating advisory, and Citigroup as placement agent and transaction advisor. Herbert Smith Freehills Kramer served as legal counsel to Virgin Atlantic.
Virgin Atlantic, founded in 1984 by Sir Richard Branson, remains committed to innovation and delivering exceptional customer service. And Virgin Group retains a 51% stake in the airline, while Delta Air Lines holds a 49 percent stake.
KEY QUOTES:
“We are pleased to partner with Virgin Atlantic on this transaction, which demonstrates our ability to provide bespoke, scaled financing solutions to leading businesses.”
Ben Eppley, Partner, Apollo
“This creative, asset-backed structure unlocks important capital investment for Virgin Atlantic, a strong, established brand that we believe is well-positioned for continued success with its differentiated offering in aviation.”
Samuele Cappelletti, Partner, Apollo
“Today’s agreement marks an important milestone as we continue to strengthen our balance sheet and deliver on our vision to become the most loved travel company. We’re delighted to partner with Apollo on this transaction, and for their confidence in Virgin Atlantic, as we invest in delivering the best experience in the skies for our guests. From flying the youngest fleet across the Atlantic as the first UK airline to have free, streaming quality Wi-Fi, to introducing larger premium cabins and a full retrofit of our 787 fleet. The best is yet to come.”
Shai Weiss, CEO, Virgin Atlantic
