India's Vistara staff now being merged with Air India, CEO confirms

The merger is expected to get regulatory clearances by April 2024

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By Web Desk

Published: Tue 18 Jul 2023, 8:24 AM

Last updated: Tue 18 Jul 2023, 8:36 AM

India's Vistara is now in the process of integrating its staff with Air India, the airline's chief has confirmed.

Vistara CEO Vinod Kannan told Indian media outlets on Monday that the merger between the two carriers is on track, with regulatory approvals expected to be obtained by April 2024.

A couple of weeks ago, India’s antitrust body had raised concerns over the planned merger and asked the company why it should not be investigated further over competition concerns.

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Kannan said on Monday, however, that the airline is "on track to receive regulatory approvals from Competition Commission of India (CCI), National Company Law Tribunal (NCLT), among others, according to local media reports.

It is a new challenge for formerly government-owned Air India, which Tata Group took over last year. The Indian airline has ambitious plans to modernise its fleet, operational systems and revenue management.

In a bid to streamline businesses, Tata in November said it was merging its two full-service carriers Air India and Vistara to create a bigger airline that will take on local rivals such as IndiGo and other international carriers that dominate outbound traffic from India.

Vistara is a joint venture between Tata and Singapore Airlines. In November 2022, Singapore Airlines Ltd (SIA) said it would emerge as a 25.1 per cent owner of Air India as part of a deal that would merge its Vistara full-service airline joint venture with Tata Sons into India's national carrier.

(With inputs from Reuters)

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Web Desk

Published: Tue 18 Jul 2023, 8:24 AM

Last updated: Tue 18 Jul 2023, 8:36 AM

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