The new chief executive of Singapore Airlines may sell of the company’s stake in Virgin Atlantic, analysts have said.

Goh Choon Phong assumed the role of chief executive for the global carrier on the 1st of the year, and brought with him expansion plans amid growing competition in the Asian region. Experts have said that Goh will likely get a number of offers for SIA’s share of Virgin after outgoing chief executive Chew Choon Seng said that it had been an ‘underperforming’ investment and that the carrier would consider selling.

The news comes as competition in the region and the global market continues to challenge the Republic’s flagship carrier. New long haul routes from Changi airport have been introduced by low cost carriers such as Air Asia X and Jetstar Asia whilst Korean Air and Cathay Pacific have renewed services aimed at attracting business class travellers. Likewise, Middle Eastern global carriers Qatar Airways, Etihad Airways and Emirates continue to add aircraft and routes linking the European and Asia-Pacific regions.

K. Ajith, an analyst from UOB- Kay Hian Research in Singapore, said that Goh has a difficult job ahead of him as SIA’s new chief executive. He added that current conditions in the market are ‘drastically’ different than when the firm had fended off competition a decade ago through concentrating on its branding.