Air India-Vistara merger: Government approves FDI to Singapore Airlines
New Delhi| A big news is coming regarding the merger of Air India and Vistara. Singapore Airlines has received approval from the Government of India for FDI for the merger of Air India and Vistara. Singapore Airlines shared this information on Friday. Let us tell you that Air India is the airline company of the Indian giant Tata Group. Apart from this, Vistara is a joint venture between Tata Sons and Singapore Airlines Limited, a Singapore airline company. Tata holds 51 per cent stake in Vistara and Singapore Airlines holds 49 per cent. After getting approval from the Government of India, the process of merger of Air India and Vistara is expected to be completed by the end of this year. Singapore Airlines will get 25.1 percent stake in Air India after the merger of Air India and Vistara. After the completion of the merger with Vistara, Air India will join the world’s largest airline groups. This proposed merger was announced in November 2022. Singapore Airlines (SIA) reported in a notice to the Singapore Stock Exchange on Friday that it has received approval from the Indian government for foreign direct investment (FDI) as part of Vistara’s proposed merger with Air India. The airline company said the completion of the merger is subject to compliance with applicable Indian laws by the parties concerned.
The merger of Vistara and Air India is expected to be completed in the next few months. The proposed merger is expected to be completed by the end of 2024, according to information provided by the company This merger will establish one of the largest airline groups. Let us tell you that the merger of Vistara and Air India was approved by the National Company Law Appellate Tribunal (NCLT) in June.