Tata to merge Vistara into Air India

On 29 November, Tata announced it will merge Vistara into Air India after it reached an agreement with Singapore Airlines, which owns 49% of Vistara. As part of the deal, Singapore Airlines will invest in Air India as well and obtain 25,1% of the shares of the Air India Group. Tata expects that the merger will be completed by March 2024, subject to regulatory approval.

This is not the first consolidation of the Indian airlines Tata is owning, as in November 2021, just a month after winning the bid to take-over Air India, the company already announced it would be merging low-cost airlines AirAsia India into Air India Express.

Vistara Airlines was founded in 2014 and launched operations in January 2015. It currently operates a fleet of 41 Airbus A320neos, five A321neos, five Boeing B737-800s and three B787-9s.

Air India, in its turn, is flying with eighteen Airbus A319s, nine A320s, 27 A320neos, fourteen A321s, four Boeing B777-200LRs, thirteen B777-300ERs, and 27 B787-8s.

Photo by Vistara.