Air Austral signs agreement to take 49% of Air Madagascar

Reunion-based Air Austral has finalised its equity joint venture with Air Madagascar, agreeing to take a 49% stake alongside the Madagascan govt which will maintain a controlling 51% shareholding. Air Austral, which is already partnered with Air Madagascar through the Vanilla Alliance, was selected as Air Madagascar’s preferred partner in March after beating a rival short-listed bid from Star Alliance carrier Ethiopian Airlines. Building on this initial selection, the two Indian Ocean carriers signed an agreement to form the partnership in April. The two airlines said the agreement was firmed Oct 9, cementing the terms and conditions for the joint venture. The partnership will be fully finalised at the end of October. <br/>