BBC Radio has just reported that BA (or rather its parent company) has reached a binding agreement with Lufthansa to acquire bmi.
This scuttles Virgin’s plans to buy bmi.
BBC Report – http://www.bbc.co.uk/news/business-16298167
But not good news if you work for bmi I fear:
British Airways owner IAG has agreed a binding deal to buy BMI from Lufthansa for £172.5m, but has warned the deal could lead to job losses.
Lufthansa has the option to sell both bmibaby and bmi regional before the deal with IAG is completed, in which case the price IAG pays would be cut.