New Delhi: The Indian government has officially given the green light for Singapore Airlines (SIA) to invest in Air India, clearing the final hurdle for the merger of Vistara into Air India by the end of this year. This merger represents a major shift in the Indian aviation landscape, as it brings together two significant players in the market under one umbrella.
Singapore Airlines, which previously owned 49% of Vistara, will now hold a 25.1% stake in the newly merged Air India by investing INR 2,059 crore. Tata Sons will retain the remaining 74.9% stake. This merger aims to combine the strengths of both airlines, offering passengers a more comprehensive range of services, including full-service, low-cost, international, and domestic flights.
For passengers who have already booked flights with Vistara for travel after the merger date, there’s no need to worry. You’ll be notified in advance about any changes to your flight details, such as new flight numbers and times, as these will now be operated by Air India. The airlines are working to ensure a smooth transition, so your travel plans should remain mostly unaffected.
The merger is likely to take place after Diwali (November 1), a strategic decision to avoid the peak festive travel period and minimize disruptions. The window between post-Diwali and the start of the foggy season in late December is seen as the best time to complete the merger, allowing for any initial hiccups to be ironed out before weather-related delays could complicate things further.
Starting September 3, 2024, customers will no longer be able to book Vistara flights for travel on or after November 12, 2024. Until November 11, 2024, Vistara will continue to operate as usual, but from then on, all bookings will need to be made through Air India’s website.
Vistara’s 70 aircraft will continue to fly in their current livery for now, switching to Air India’s branding only during routine maintenance to avoid taking planes out of service just for repainting. This means there’s no immediate change to the look and feel of your Vistara flight, and in fact, you might still enjoy Vistara’s well-regarded cabin quality on Air India-operated routes.
Both airlines are keen to assure passengers that there will be minimal disruptions to their travel plans. Concerns about being moved to a lower class of service on Air India flights due to differences in cabin configurations are unlikely, as the airlines are planning carefully to avoid such issues.
If you’re a frequent flyer, good news! Vistara has already begun the process of transferring loyalty points to Air India’s program, so you won’t lose out on any accumulated rewards. Plus, with a larger fleet and an expanded network, your travel options are set to increase significantly.
The transition isn’t just about planes and passengers—there’s also a lot going on behind the scenes with staff and operations. Many Vistara employees are already moving to Air India’s new headquarters in Gurgaon, and both airlines are working together closely to ensure the merger goes as smoothly as possible.
Vinod Kannan, CEO of Vistara, expressed his gratitude to customers for their loyalty over the past decade and emphasized that the merger will provide more choices and an even better travel experience. Similarly, Campbell Wilson, CEO of Air India, highlighted the joint efforts to offer a seamless experience for passengers and build a world-class airline.
With this merger, the new Air India Group will become a more formidable player in both the Indian and international markets, promising more flight options, better services, and a commitment to growth and excellence. For passengers, this means more choices, more destinations, and a stronger airline network. /BI/
