Tata Group to merge Air India and Vistara
The report also claimed that the airline merger is probably going to happen within the next 12 months. Following the merger, the Tata Group will consider combining Air India and Vistara, with Singapore Airlines (SIA), which owns a portion of Vistara, joining forces with the group to become a co-owner of Air India.
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The Tata Group is prepared to begin the process of merging all of its airline operations under the Air India name.
The company stated to a news source that a rough deadline for finishing the entire procedure is 2024. According to the strategy being considered at various levels within the Tata Group, the entire process will begin with the transfer of its ownership in AirAsia India to Air India soon, according to a story by The Indian Express.
The report also claimed that the airline merger is probably going to happen within the next 12 months.
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The report also claimed that the airline merger is probably going to happen within the next 12 months. Following the merger, the Tata Group will consider combining Air India and Vistara, with Singapore Airlines (SIA), which owns a portion of Vistara, joining forces with the group to become a co-owner of Air India.
“The process of transfer will happen anytime soon that will make AirAsia India the subsidiary of Air India; soon after, AirAsia will be merged with Air India Express. The integration process of the two airlines is expected to take at least 12 months from the start date,” The Indian Express quoted a source.
How does the Tata Group intend to consolidate airlines?
The Tata Group’s plan calls for the consolidation process to take place over the course of the following 12 months, beginning with the merging of AirAsia India into Air India Express. The Tata Group would explore the possibility of combining its full-service carrier Vistara with Air India, with the expectation that Singapore Airlines (SIA), an equity partner in Vistara, will eventually work with the Tata Group to become a part-owner of Air India as well. According to sources, the entire transfer process will take place soon, making AirAsia India an Air India subsidiary. After then, the process of merging AirAsia with Air India Express will start.
In addition, the Tata Group intends to run a single Air India brand with Air India Express as its low-cost subsidiary. Both domestic and international low-cost flights would be offered under this brand.
