Virgin America has reportedly appointed Barclays and Deutsche Bank to lead an initial public offering.
The carrier interviewed half a dozen banks last month as it prepares for an IPO that could come as soon as the second half of this year, the Financial Times has reported.
The California-based airline, which was launched in 2007, would use capital from the potential listing to almost double its fleet from 53 aircraft to nearly 100 over the next decade.
Sir Richard Branson’s Virgin Group has a minority stake in the airline.
Virgin America has been growing its network of routes and in December bought 12 take-off and landing slots at New York’s LaGuardia Airport that American Airlines gave up in return for approval of its merger with US Airways.
A listing could provide Virgin Group and fellow shareholder, hedge fund Cyrus Capital, a chance to sell part of their stakes including a debt position that would be convertible to equity after an IPO, the FT said.
The carrier posted a net income of $33.5 million for the quarter ended September 30, compared with a loss of $12.6 million a year earlier.
A Virgin America spokesman said the company was not commenting on the report.