​Virgin Australia buys out Tiger Airways for less than a buck

In a statement Friday, budget-carrier Tiger Airways said it had signed an agreement with Virgin Australia to sell its remaining 40 percent stake in Tigerair Australia for one Australian dollar, or roughly 88 cents.

Struggling Tiger Airways, which describes itself as a "Singapore-based no-frills airline," posted a fiscal second quarter net loss of nearly $113 million, and an operating cost that nearly doubled from the previous corresponding quarter. Total revenue declined by 10.5 percent.

"The contraction is mainly due to the weaker operating performance of Tigerair Singapore," which posted a multi-million dollar operating loss, the company said in its statement.

The sale of the Tigerair Australia stake continues Tiger group's scaling back of its regional ambitions, while low-cost regional rivals continue to expand.

According to Reuters, Virgin bought its original 60 percent stake from Tiger for $30.6 million only 14 months ago.