By Andrew Scurria and Patrick Fitzgerald

Richard Branson's Virgin Atlantic Airways Ltd. filed for bankruptcy in the U.S. to put into effect a $1.5 billion rescue package designed to keep the airline solvent through the coronavirus pandemic and aid the billionaire's broader efforts to stabilize his travel and tourism businesses.

Virgin Atlantic sought protection under chapter 15 in U.S. Bankruptcy Court in New York, as part of the airline's court-sanctioned restructuring process in the U.K. that includes GBP600 million ($784 million) in financial support from shareholders.

Chapter 15 is the section of the U.S. bankruptcy code that gives foreign companies access to many of the benefits of U.S. bankruptcy law. Virgin's lawyers are seeking a temporary restraining order from the U.S. court, which would freeze lawsuits and shield its U.S.-based assets from potential seizure during restructurings in their home countries.

Virgin's bankruptcy advisers said Tuesday the airline's debt restructuring was prompted by unprecedented financial and operating conditions facing the carrier because of the Covid-19 pandemic and "the near shutdown of the global passenger aviation industry in general."

Without a deal, Virgin couldn't ensure it could pay its bills beyond mid-September, the airline's advisers said in court papers.

The restructuring agreement will supply the airline with a GBP200 million capital investment from Mr. Branson's Virgin Group and GBP170 million in secured loans from U.S.-based Davidson Kempner Capital Management LP.

Under the proposal, Virgin Group will retain its 51% controlling stake in the airline, and U.S. partner Delta Air Lines Inc. will continue to hold the remaining 49%. Both companies are deferring fees on things like using Virgin's brand name and Delta's booking system.

In court papers, Virgin Atlantic said the recapitalization is essential to the company's ability "to reposition itself to not only survive the exigent threats posed by the Covid-19 global pandemic but to thrive once the immediate global health crisis passes." For the restructuring to take effect, a U.S. court order is required making the terms binding in the U.S., the airline said.

Government restrictions put in place to combat infections and passengers' fear of contagion have devastated passenger flight volumes world-wide, forcing airlines from Europe to Latin America and the U.S. to seek concessions from creditors and bailouts from governments.

An English court Tuesday ordered Virgin to convene a meeting of creditors Aug. 25. A hearing to consider approval of the airline's restructuring plan is slated for Sept. 2 in London.

Write to Andrew Scurria at andrew.scurria@wsj.com and Patrick Fitzgerald at patrick.fitzgerald@wsj.com