Buzz of merger with Vistara as AI charts out plan to be world-class
Amid the ambitious plan of the Tata-owned Air India to raise its market share substantially to at least 30 per cent in the domestic market, there is a buzz within the aviation industry on the possibility of its merger with Vistara, a joint venture between Tata Sons and Singapore Airlines. On September 15, Air India unveiled its comprehensive transformation plan, to establish itself, once again, as a world-class global airline. It said over the next five years, it will strive to increase its market share to at least 30% in the domestic market while significantly growing the international routes from the present market share. The plan is aimed at putting Air India on a path to sustained growth, profitability and market leadership. Air India clocked a market share of 8.5% in August while carrying 8.61 lakh passengers. On the other hand, Vistara has maintained its second position in terms of the market share during the last two months July (10.4%) and August (9.7%). Apart from this, Air India has talked about its fleet expansion plan by introducing five widebody and 25 narrowbody aircraft. The airline has also said about getting back its grounded aircraft in service. On the other side, Vistara has 55 aircraft and the number will increase to 60 in the upcoming months. In the winter schedule starting from October end, Vistara will add more flights to Europe as it has planned increasing capacity to Frankfurt and Paris. When asked about the possibility of a merger, an industry insider said there was speculation about the merger particularly after Air India’s announcement of the transformation plan. There will be clarity on this only in the coming months.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2022-09-21/star/buzz-of-merger-with-vistara-as-ai-charts-out-plan-to-be-world-class
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Buzz of merger with Vistara as AI charts out plan to be world-class
Amid the ambitious plan of the Tata-owned Air India to raise its market share substantially to at least 30 per cent in the domestic market, there is a buzz within the aviation industry on the possibility of its merger with Vistara, a joint venture between Tata Sons and Singapore Airlines. On September 15, Air India unveiled its comprehensive transformation plan, to establish itself, once again, as a world-class global airline. It said over the next five years, it will strive to increase its market share to at least 30% in the domestic market while significantly growing the international routes from the present market share. The plan is aimed at putting Air India on a path to sustained growth, profitability and market leadership. Air India clocked a market share of 8.5% in August while carrying 8.61 lakh passengers. On the other hand, Vistara has maintained its second position in terms of the market share during the last two months July (10.4%) and August (9.7%). Apart from this, Air India has talked about its fleet expansion plan by introducing five widebody and 25 narrowbody aircraft. The airline has also said about getting back its grounded aircraft in service. On the other side, Vistara has 55 aircraft and the number will increase to 60 in the upcoming months. In the winter schedule starting from October end, Vistara will add more flights to Europe as it has planned increasing capacity to Frankfurt and Paris. When asked about the possibility of a merger, an industry insider said there was speculation about the merger particularly after Air India’s announcement of the transformation plan. There will be clarity on this only in the coming months.<br/>
