As Air India looks to have a 30% share in both domestic and international markets, the airline’s chief Campbell Wilson has said that significant investments will be made to grow the fleet of Air India Express after the AirAsia India merger.
The Tata group is working on streamlining its airline business and will be having a single low-cost carrier under the Air India Express brand after merging AirAsia India with it. The merger is expected to be completed by the end of 2023.
To ensure alignment between the two carriers, Campbell said that during and beyond the integration process, he will chair the boards of Air India Express and AirAsia India.
On both the boards, Air India CCO Nipun Aggarwal, respective CEOs — Aloke Singh and Sunil Bhaskaran — Air India’s independent directors — P R Ramesh and Alice Vaidyan — will be there. Air India CFO Vinod Hejmadi will remain on Air India Express board, as per the communication.
On Wednesday, November 2 it was announced that Air India has signed agreements to have a 100% stake in AirAsia India. According to the share purchase agreement, AirAsia India can continue to use the ‘AirAsia’ brand name for 12 months.
The carrier is a joint venture between Tata Sons and Air Asia Investment Ltd. Tata Sons has an 83.67% stake and the remaining 16.33% shareholding is with AirAsia.