The consortium bidding A$11.1 billion (£4.5 billion) for Australia’s national airline Qantas has urged shareholders to accept the offer or see the bid collapse on Friday.

Airline Partners Australia (APA) revealed that it has won the support of investors holding just 12.57 per cent of the airline’s issued share capital.

Shareholder acceptances including a facility that allows institutions to retain the right to withdraw potentially hands APA another 25.57 per cent.

But the consortium, led by Macquarie Bank, needs to reach a total of 50 per cent or more by Friday or see its takeover attempt fail.

Bob Mansfield, APA spokesman, insisted that by number a majority of Qantas shareholders had already shown their support for the deal.

“Despite public comments by one or two vocal shareholders, a clear majority have accepted the offer and want it to succeed,” he said.

“Remaining shareholders who wish to accept should do so immediately.”

If APA reaches 50 per cent by Friday, its offer will automatically be extended for another fortnight.

The consortium has already cut its acceptance condition to 70 per cent from 90 per cent amid mounting opposition to the bid and signs of stronger trading at Qantas.

Qantas last month issued its third profit upgrade since December and said it was on course for record profits in the 2007-2008 financial year.

Fund manager Balanced Equity Management this weekend reiterated its opposition to the A$5.45 per share offer, claiming it fell a “long way” short of reasonable value.

Mr Mansfield said he remained confident that a large number of hedge funds would accept the bid at the last minute.

The bidding group includes Macquarie, Texas Pacific, Allco Equity Partners, Allco Finance Group and Onex Corp, the Canadian investment firm.

Despite concerns from some polticians that a deal would not be in Australia’s national interest, regulatory authorities cleared it at the beginning of March.

APA has pledged it will not break the business up.

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