- September 26, 2013
- Posted by: IAAI
- Category: News
Tata Sons and Singapore Airlines have signed a Memorandum of Understanding and applied for Foreign Investment Promotion Board (FIPB) approval to establish a new airline in India that will help further stimulate demand for air travel.
Subject to FIPB and other regulatory approvals, Tata Sons will own 51% and Singapore Airlines will own 49% of the airline that will be based in New Delhi.
As per the information available the initial board will have two members nominated by Tata Sons and one member nominated by Singapore Airlines. The Chairman will be Prasad Menon, nominated by Tata Sons.
“We have always been a strong believer in the growth potential of India’s aviation sector and are excited about the opportunity to partner Tata Sons in contributing to the future expansion of the market,” said Singapore Airlines CEO, Goh Choon Phong.
“Tata Sons is one of the most established and respected names in India. With the recent liberalisation, the time is right to jointly bring consumers a fresh new option for full-service air travel. We are confident the joint venture airline will help to stimulate market demand and provide economic benefits to India.”
Details of the airline’s branding, management team and products and services will be announced in due course.