(Reuters) - Richard Branson-backed Virgin America Inc (O:VA) is considering selling itself or a part of the company after it received buyout interest, Bloomberg reported.
The budget airline is reaching out to potential buyers, Bloomberg said, citing people with knowledge of the matter. (http://bloom.bg/1o6rXG4)
Virgin America declined to comment, saying it does not comment on any speculation concerning mergers or acquisitions.
The airline company's shares were up 13.6 percent at $34.83 in midday trading. They rose as much as 15 percent earlier in the session.
Virgin America is working with a financial adviser, Bloomberg reported, adding that no decision had been made and the company may choose not to pursue a sale.
The Burlingame, California-based airline company publicly listed its stock in November 2014. Its shares were priced at $23 (£16.3) each and the company was valued at $1.24 billion (£878.7 million).
Virgin America now has a market cap of $1.37 billion, according to Thomson Reuters data.
Virgin America is the U.S. offshoot of billionaire entrepreneur Richard Branson's London-based Virgin Group, which is involved in airlines, railroads, telecommunications, media and hospitality.
