Singapore Airlines has open mind on making initial bid for Air India
Singapore Airlines has an open mind about making an initial bid for a stake in state-run Air India, the head of the Singaporean carrier’s India business. India said last week it would invite initial bids this month for a stake in the flag carrier. The cabinet approved the sale last year after successive governments poured billions of dollars into the indebted airline.
“India is a strategic market for Singapore Airlines. We have an open mind,” David Lim, general manager for India, said in an interview when asked whether Singapore Airlines would bid. He did not elaborate.
Several companies have expressed an interest in buying some of Air India’s businesses, including low-cost Indian carrier IndiGo, owned by InterGlobe Aviation, Tata Group and Turkey’s Celebi Aviation Holdings. India cleared a proposal in January to allow foreign investors to own up to 49 percent of Air India, opening the way for global airlines to bid.
Lim said Singapore Airlines had already shown its commitment to the Indian market by setting up Vistara, a full-service domestic carrier it jointly owns with India’s Tata Group. He did not say whether Singapore Airlines would look at bidding for a stake in Air India alone or with Tata.
Singapore Airlines operates 98 flights a week to India and plans to increase that to 104 by summer. Its low-cost airline, Scoot operates 46 flights to India, while Vistara is expected to launch its first international flights this year. Air India has six subsidiaries – three of which are loss-making – with assets worth about $4.6 billion. It has an estimated $1.24 billion worth of real estate, including hotels.
The carrier’s debt has ballooned to $8.5 billion and India plans to transfer part of this into a separate unit before selling a stake in the carrier. The government has injected $3.6 billion since 2012 to bail out Air India which was founded in the 1930s and is known to generations of Indians for its Maharajah mascot.
News Source: Reuters
You might also like
flydubai announces daily flights to Prague
Airline to launch daily service from 01 July 2016 Dubai-based flydubai has announced that it will begin daily operations to Prague from 01 July, an increase from four weekly flights.
Ethiopian Airlines won Employer of Choice Award
Ethiopian Airlines, the largest, fastest growing and most profitable airline in Africa, is pleased to announce that it has won Employer of Choice 2015 award by Careers in Africa in
PATA Honours Tourism Leaders at PATA Annual Summit in İstanbul, Türkiye
The Pacific Asia Travel Association (PATA) honoured two distinguished leaders in the Asia Pacific travel and tourism industry during the PATA Annual Summit 2025 (PAS 2025) in İstanbul, Türkiye. In recognition of their longstanding
