Virgin Australia plans to restructure its business to attract more foreign investment.
The airline plans to create a separate unlisted international holdings company, Virgin Australia International Holdings, which will hold the company's international airlines and allow it to attract more offshore capital.
Air New Zealand already owns almost 20% of the airline.
The airline says it needs to restructure because its foreign ownership has recently neared the legal limit of 49% under the Air Navigation Act.
But it says its foreign ownership will remain below that limit under the new structure.
Virgin Australia made the announcement as it posted a first-half net profit of almost $A52 million in the six months to the end of December, as its government and business customer numbers took off.
The result was a 118% jump on the profit posted the same time last year.