An opportunity for Singaporean Airlines to get the nod for foreign investment, as a part of the planned merger of Vistara and Tata-owned Air India.
November will see the final flight taken by Vistara, following its merger with Air India and continuing operations under the Air India banner. All the routes handled by Vistara will be redirected to Air India and passengers from the Vistara can now look forward to booking flights under the Air India website.
The announcement of Singapore Airlines stating their foreign direct investment approval from the Indian Government came on the same day giving a huge relief in setting up for the completion of the merger. The spokesperson from Air India confirmed the landmark decision favouring the approval to be an enabler for the merger process for the broader transformation hoping to be seen in the Air India Group through Vistara and Air India becoming one.
Vistara will no longer take bookings from September 30th, 2024, on or after November 12th, 2024 as per Vistara’s press release.
CEO Vinod Kannan has lauded the merger and expressed his gratitude to the customers for their patronage and support for the airlines over a decade now. As this development will become a part of their growth journey, he feels the customers will have more options because of the larger fleet and wider network areas that will get covered due to the merger of Air India and Vistara. He further reiterated the enhanced travel experience. A smooth transition with the merger is a commitment that will mark the new phase in air travel. The Air India Group looks forward to welcoming customers to join them on this journey.
The CEO & MD of Air India, Campbell Wilson has mentioned to the press about ensuring a seamless transition. He stated that the cross-functional teams from both organizations had worked hard to see the flying crew, ground-based staff, and most crucially customers seamlessly. The joint team of Air India and Vistara have tirelessly worked towards offering the customers an expanded network and additional flight options enabling a better frequent flyer program. This initiative will pick the best from both the organization to provide the best to their loyal customers and work towards making a world called global airline, that’s truly Indian.
The news of this merger came out to the public notice in November 2022 made to provide a prominent full-service airline that catered to both international and national markets. The foreign direct investment from a sole foreign carrier made by Singapore Airlines will give it a boost. The investment is at 25.1% stake generating a $250 million investment in this new merger of Air India and Vistara. Several regulatory approvals from the Company Law Tribunal (NCLT) were secured in the month of June along with the Singapore Competition Regulator in the month of March and finally, the Competition Commission of India (CCI) in September 2023 itself giving a big nod to securing this deal further.