Go First IPO set to expire soon

Go First is likely to see its long-planned initial public offering (IPO) delayed once again, as a document it released to lure potential new investors is set to expire in the coming days and a launch date for the IPO has yet to be announced.

ALSO READ - Go First files for IPO at INR 3,600 crore valuation

The IPO had intended to raise INR 36 billion (3600 crores) to reduce debt, repay lessors, and boost operations in India and internationally. It was reported in May that parent Wadia Group was aiming for the airline to go public in early July.

Go First IPO is set to expire soon

ALSO READ - Go First plans to launch the IPO by July after months of deliberation; mulls inducting more aircraft

This was after the Securities and Exchange Board of India (SEBI) last summer gave Go Airlines Private Limited the green light for its debut on the Mumbai Stock Exchange. The carrier has been planning a listing since at least 2015 when it was known as GoAir.

A draft red herring prospectus (DRHP) that Go First released to introduce itself to investors will now expire on August 26.

A public issue or rights issue needs to be opened within 12 months of the date of issuance of observations

The company has not announced a date for the launch of the IPO as of August 22, the business news publication Mint reported, and it will need to refile its IPO papers with the SEBI if it fails to do so.

A public issue or rights issue needs to be opened within 12 months of the date of issuance of observations, according to SEBI regulations. This period was extended by six months during the pandemic, but no longer.

Go First is one of 27 companies in India that have filed their prospectuses with the board but whose applications will also expire by the end of 2022 unless they kickstart the process.

Go First has also grounded more than a fifth of its fleet due to delayed deliveries of aircraft engines by Pratt & Whitney

“We are witnessing a considerable gap in the pace at which DRHPs are being filed versus the rate at which IPOs are being launched. Some DRHPs filed by the companies will expire soon, so they will need to look to refile them,” said an investment banker.

ALSO READ - Go First grounds over a fifth of its fleet due to delayed deliveries of engines by Pratt & Whitney

Go First has also grounded more than a fifth of its fleet due to delayed deliveries of aircraft engines by Pratt & Whitney. The airline has grounded about a dozen of its 57 planes for weeks as it awaits delivery of the upgraded versions of the PW1100G geared turbofan engines which power the A320neo aircraft.

According to a statement issued by The Union Civil Aviation Ministry, the Boeing 787 aircraft has been exempted from GEO Augmented Navigation (GAGAN) compliance until 2025.

GAGAN is an acronym for GPS Aided GEO Augmented Navigation. It is a Space Based Augmentation System (SBAS) jointly developed by the Indian Space Research Organization (ISRO) and the Airports Authority of India (AAI) to provide the best possible navigational services over Indian FIR (Flight Information Region) with the capability of expanding to neighbouring FIRs.

GAGAN system helps minimise flight delays and save fuel apart from enhancing flight safety.

GAGAN is a system of satellites and ground stations that provide GPS signal corrections, giving you better position accuracy.

GAGAN consists of sets of ground stations strategically positioned across the country which is used to collect GPS satellite data on aircraft position and movement. Using this information, the master control centre generates messages to correct any signal errors.

These corrected messages are then uplinked and broadcast through geostationary communication satellites to receivers onboard aircraft using the same frequency as GPS.

All airline companies in the country, which have Boeing 787, have been given relaxation in the time limit to operate the GAGAN system compulsorily.

Currently, only Tata group-owned airlines - Vistara and Air India operate the B787 Dreamliner in India for overseas operations.

ALSO READ - Satellite-based Navigation System ‘GAGAN’ to be active in 3-5 years: Scindia

The system essentials for Boeing 787 have been exempted till December 31, 2025. That is, now airlines will not be obliged to implement the Gagan system till December 31, 2025. Companies have been given exemption from this for the next 3 years. This new system has been jointly developed with an investment of Rs 774 Cr.

Earlier this year, IndiGo became the first airline in the country to land aircraft using the indigenous navigation system GAGAN.

ALSO READ - Indigo becomes the first airline in Asia to use the GAGAN navigation system to land an aircraft

It will also provide increased accuracy in position reporting of aircraft, allowing for more uniform and high-quality air traffic management. As a plane approaches the runway for a landing, GAGAN offers lateral and vertical guidance. Its accuracy will be very helpful for small airports.

GAGAN is the first Satellite-Based Augmentation System in the world which has been certified for approach with vertical guidance operating in the equatorial ionospheric region.

Currently, only Tata group-owned airlines - Vistara and Air India operate the B787 Dreamliner in India for overseas operations.

GAGAN covers the area from Africa to Australia and has expansion capability for seamless navigation services across the region. GAGAN provides accuracy, availability, and integrity essential for each phase of flight, en route the approach for airports within the GAGAN service volume.

This makes airline operations more efficient and effective, increasing air safety, and fuel efficiency. Further, with vertical guidance at runways, a significant cost will be saved due to the withdrawal of ground aids and the reduced workload of airline crew and traffic controllers.

In a bid to expand the flying capacity ahead of the holiday season, the Tata Group has decided to induct several planes by 2023 for its two airlines, Air India and Air India Express. The company is planning to get six Boeing 777-2000 aircraft and 25 Airbus A320 Neo aircraft on lease by the first quarter of 2023, The Economic Times (ET) reported.

ALSO READ - Airbus, Boeing compete to get Air India’s deal

ALSO READ - Air India prepares to add more than 200 aircraft; the most significant order in a long time

Tata Group is in the final stages of placing an order for 200 narrowbody and widebody jets from Airbus and Boeing. But their delivery might only start by the end of 2024. To meet the short-term demand, the company has decided to take Boeing 7777-2000 and Airbus A320 Neo on the lease, the report added.

Air India is planning to get six Boeing 777-2000 aircraft and 25 Airbus A320 Neo aircraft on lease by the first quarter of 2023

ALSO READ - Air India plans to lease B777s for long-haul flights to North America

Boeing 777 will be leased from Delta Airlines in the US. It had phased out the 18 777 aircraft after the Covid-19 pandemic. It is expected to join Air India's fleet by October. They will likely be used to extend flights on the India-US route, which is likely one of the most worthwhile for the airline, folks conscious of the airline’s plan stated.

ALSO READ - Air India eyes Multiple Hubs, International Expansion

ET further stated that the Boeing 777 will be used to increase the flights on the India-US route as it is one of the most profitable routes. The aircraft's long-range will allow the company to connect South Indian cities like Hyderabad and Bengaluru to US west coast and Canada.

Boeing 777 will be leased from Delta Airlines in the US

Airbus A320 Neo will be leased from the secondary market. It is expected to join Air India's fleet by 2023 and will be used primarily on domestic routes.

ALSO READ - Will bring back 10 grounded wide-body aircraft to service – Air India

The airline can also be getting 10 grounded large physique planes again to service by early 2023, they stated. Its wide-body fleet at the moment stands at 43, of which 33 are operational.

Air India Express is also expanding its capacity by taking five Boeing 737 jets from its sister company, Vistara. In 2019, Vistara had taken nine 737 aircraft from Jet Airways on lease. While it has returned four of them, the lease period of the remaining five will be extended by Air India Express.

ALSO READ - Air India Express plans to add 4 Boeing 737 to keep up with rising demand

Air India Express is also expanding its capacity by taking five Boeing 737 jets from its sister company, Vistara

Air India Express operates primarily in the middle-east. "The airline has decided for a nominal increase in capacity expansion, keeping in mind the upcoming heavy traffic season to Dubai and Qatar due to the FIFA World Cup," ET quoted a person aware of the matter.

ALSO READ - Air India Express plans massive international expansion in the next 5 years

Tata Group's three airlines, Air India, AirAsia India, and Vistara currently hold a 24% share in the Indian aviation market.

Aviation consultancy agency CAPA stated that airways contemplating plane orders once more are an indication that the business is assured that post-Covid-19 restoration is nicely underneath means.

Air India has also started additional 24 domestic flights which began on August 20 to improve connectivity between major metro cities

“With fleet choices having been delayed for the previous few years, this will likely be a precedence for the airline’s new proprietor Tata Group, as Air India at the moment has no plane with the intention to substitute ageing fleet sorts,” CAPA stated.

ALSO READ - Air India starts 24 domestic flights to enhance connectivity between metros

Air India has also started additional 24 domestic flights which began on August 20 to improve connectivity between major metro cities. The majority of these planes will operate on routes that pass via major cities like Mumbai, Delhi, Bengaluru, and Chennai, among others.

(With Inputs from The Economic Times)

Air India started additional 24 domestic flights which began on August 20 to improve connectivity between major metro cities. The majority of these planes will operate on routes that pass via major cities like Mumbai, Delhi, Bengaluru, and Chennai, among others.

Two new frequencies will be added by Air India on the routes from Delhi to Mumbai, Bengaluru, and Ahmedabad as well as from Mumbai to Chennai and Hyderabad. Additionally, one new frequency will be added on the routes from Mumbai to Bengaluru and from Ahmedabad to Pune.

"This expansion bolsters connectivity between key metros and improves connectivity between Air India's domestic and international networks. Over the past six months, Air India has been working closely with our partners to return aircraft to service, and we are delighted that this effort is now bearing fruit."Campbell Wilson, MD and CEO, Air India

The introduction of the new route was made possible by the restoration of Air India’s aircraft that had been grounded for prolonged periods due to the Covid pandemic and other reasons.

ALSO READ - Will bring back 10 grounded wide-body aircraft to service – Air India

As of now, there are 70 aircraft in Air India's narrowbody fleet, 54 of which are operational. By the beginning of 2023, the remaining 16 aircraft will gradually enter service again.

ALSO READ - Air India issues tender to sell 3 B777-200LR aircraft

Air India starts 24 domestic flights to enhance connectivity between metros

ALSO READ - Air India prepares to add more than 200 aircraft; the most significant order in a long time

Air India is considering buying more than 200 new planes with 70% of them being narrow-bodied aircraft, according to aviation industry sources.

ALSO READ - Airbus, Boeing compete to get Air India’s deal

The airline's document said that considering the future expansion plans for its fleet, it is imperative to meet the workforce requirement. "To meet our requirement, it is proposed to retain our current trained pilots at Air India post-retirement on a contractual basis for five years extendable to 65 years," it mentioned.

GMR Group launched a Blockchain Centre of Excellence (CoE) for airports as part of its expansion of the GMR Innovex initiative.

GMR Innovex - Blockchain Centre of Excellence will identify and incubate startups and catalyze innovative product development under the guidance of business leaders and domain experts in association with blockchain technology partners, according to a statement released by GMR Group.

The Blockchain CoE will provide access to the required infrastructure and labs to start-ups, and SMEs for the development and validation of solutions and services, from design to prototyping. It will also enable thought leadership, research, and training programs for upskilling in the field of blockchain.

https://twitter.com/GInnovex/status/1561029925553188864

GMR Innovex signed a Memorandum of Understanding (MOU) with Idealabs, Polygon, Koinearth, India Blockchain Forum and Veroince to explore opportunities and identify blockchain technology-related use cases for airports and ancillary businesses.

Jayesh Ranjan, Principal Secretary of the Industries and Commerce (I&C) and Information Technology (IT), Govt of Telangana was the chief guest on the occasion.

"We are excited to launch the Blockchain CoE for our group, which intends to work with various Distributed Ledger Technology (DLT) technology players, to build a slew of applications for the distributed technology landscape.We believe the industry is slowly emerging with respect to utility and value that DLT systems present, specifically for a multi-stakeholder environment like airports. We already have use-cases that we are ear marking to build on which will help create transparency, trust, data bartering and shared value and experience for our partners and customers."SGK Kishore, ED-South and Chief Innovation Officer, GMR Airports

GMR Innovex has onboarded Pankaj Diwan as the Chief Evangelist for leading the GMR Innovex Blockchain CoE, who has been associated with blockchain-related activities for a long time.

He will also be supported by a group of blockchain advisors who are expert grouping and practitioners in different industry verticals, GMR Group said in the statement.

"Blockchain is emerging as the biggest disruptor in business after the advent of the internet with a potential to transform entire business ecosystems. Idealabs is happy to partner with GMR Group and GMR Innovex for the Blockchain CoE. We are excited to help the GMR Innovex Blockchain CoE develop internal blockchain competency and explore relevant use cases in the airport ecosystem."Pankaj Diwan, Chief Evangelist for leading the GMR Innovex Blockchain CoE and Founder, Idealabs Future Tech Ventures

A dedicated new facility for innovation has also been established at the Hyderabad Airport campus to serve as a platform for various innovation activities by various collaborating start-ups, industry partners and GMR employees.

"India Blockchain Forum, is excited to partner with GMR Innovex on its journey to building the CoE and building enterprise class dApps. We believe being Foundational Technology, Blockchain has lot of applicability and relevance in the broader aviation space. We should see this collaboration will bring much needed innovation for aviation space."Prasanna Lohar, President, India Blockchain Forum

As per Grand View Research, the global blockchain technology market size was valued at USD 5.92 billion in 2021 and is expected to grow at a Compound Annual Growth Rate (CAGR) of 85.9% from 2022 to 2030. The market growth can be attributed to the increasing venture capital funding in blockchain technology companies.

GMR Group launches Blockchain Centre of Excellence for airports

GMR-Innovex, the new business vertical of GMR Group, was launched in April 2021 to foster innovation. It has innovation-focussed partnerships with multiple new partners, including Airbus, Plug and Play (leading global corporate innovation platform), Swedish Institute (SI), T – Hub (Innovation intermediary and business incubator based in Hyderabad), IIT-Hyderabad, International Crops Research Institute for the Semi-Arid Tropics (ICRISAT) and Schulich Business School (Business School of York University Located in Toronto, Canada).

An air traffic controller (ATC) at the Delhi airport tested positive for a psychoactive substance and has been removed from duty by the aviation regulator DGCA, sources said on Sunday, August 21.

This is the first instance of an air traffic controller (ATC) testing positive for psychoactive substance after the rules for the testing of the flight crew and ATCs for psychoactive substances came into force in the country in January 2022, they said.

The sources said that an ATC posted at the Indira Gandhi International Airport (IGIA) was subjected to a drug test. The person was found positive in the confirmatory test report received on August 18 and he has been removed from the ATCO duty.

ATC at Delhi Airport removed from duty by DGCA as he tests positive for psychoactive drug

The Civil Aviation Requirement (CAR) detailing the procedure for examination of the aviation personnel for consumption of psychoactive substances came into effect on January 31. The test is done for the flight crew and ATCs on a random basis.

ALSO READ - DGCA orders pre-flight alcohol tests for 50% of pilots and cabin crew daily

Since the rules were implemented, three pilots of different airlines have been found positive after the confirmatory test and are being dealt with as per the provisions of DGCA regulations.

As per the CAR, in case the result of the confirmatory drug test is positive for the first time, then the person concerned will be referred to a de-addiction centre by the organisation concerned for a de-addiction and rehabilitation.

If the same person tests positive for the second time, then his or her licence will be suspended for three years. And if the violation happens for the third time, then the particular personnel's licence will be cancelled.

In the introduction to the CAR, the Directorate General of Civil Aviation (DGCA) mentioned that the worldwide spread of the use of psychoactive substances, their general availability and the ever-increasing number of addicted users is a serious concern to aviation safety.

Citing a study conducted by the Ministry of Social Justice and Empowerment and the report published in February 2019, DGCA said that after alcohol, cannabis and opioids are the next commonly used psychoactive substances in India.

In the introduction to the CAR, DGCA mentioned the worldwide spread of the use of psychoactive substances and the ever-increasing number of addicted users is a serious concern to aviation safety.

ALSO READ - A dozen airport and airlines maintenance staff reported working drunk in India

Two pilots of leading Indian airlines failed dope tests in July end, becoming the first aviation personnel to do so since India started testing flight crew and air traffic controllers for psychoactive substances on a random basis starting January 31, 2022. 

ALSO READ - Two pilots of leading Indian airlines fail dope tests

As this is the first time they have failed the test, the two are being sent for de-addiction or rehabilitation. After undergoing the programme successfully, they can return to work with a negative dope test and a fitness certificate from their airline doctor.