A 30% chunk of Virgin Australia, one of the few domestic rivals to Qantas, was sold in an initial public offering this month at A$2.90 a share to raise A$685 million (US$444 million).

The price values the entire airline at A$2.3 billion.

The stock, which listed on the Australian Securities Exchange at noon, climbed 8.6% from the offer price in the first five minutes of trade.

US private equity giant Bain Capital came to the airline’s rescue in late 2020 after the Australian government refused to bail it out as the Covid-19 pandemic brought international travel to a standstill.

“Today marks the start of an exciting new chapter for Virgin Australia as a publicly listed company,” said airline chairman Peter Warne.

“Our listing reflects the remarkable work undertaken over the past five years to transform the airline and position it for long-term success,” he said in a statement.

After selling a 30% stake in Virgin Australia in the initial public offering, Bain now holds about 40% of the airline.

Qatar Airways bought a 25% share in the carrier this year.

Qatar’s entry injected a dose of foreign competition against Australia’s dominant carrier Qantas and its budget offshoot Jetstar, which together carry more than 60% of domestic passengers.

“We are proud of how far we have come and energised by the opportunities ahead as we continue to realise our ambition of being Australia’s most loved airline,” Virgin Australia chief executive Dave Emerson said.