It was awaited, and now with necessary regulatory approvals availed, Air India chief Campbell Wilson on Friday, 30 August revealed that 12 November has been set as the date for the movement of aircraft and crew of Vistara to Air India.
Vistara, the premium service carrier in India, also a joint venture between Tata Group and Singapore Airlines, will lose its brand identity as it's getting merged with Air India. Post merger, the Singapore carrier will have a 25.1 per cent stake in Tata Group-owned Air India.
Singapore Airlines on Friday, 30 August revealed that it has received necessary approval from the Indian government for the foreign direct investment (FDI) as part of the proposed merger between Vistara and Air India, a deal that will eventually create a larger entity in Indian Aviation, in World as well.
"The FDI approval, together with anti-trust and merger control clearances and approvals, as well as other governmental and regulatory approvals received to-date, represent a significant development towards the completion of the proposed merger," the airline said in the filing to the Singapore Stock Exchange.
In a press release, Vistara says that starting September 3 this year, customers will no longer be able to make bookings with Vistara for travel on or after November 12, when a 10 year old prominent brand known for its product and service quality, will cease to exist.
Now, with the clearance obtained, the ambitious merger that will enable Singapore Airlines to acquire a 25.1 per cent stake in Air India, is expected to be completed by the end of this year.
In a message to the staff on Friday, Wilson said they are now embarking on the final stretch of the long and complicated merger process. The merger was announced in November 2022.
Wilson said that for Vistara flights on or after 12 November, the flight numbers will change to Air India ones, even though in nearly all cases the aircraft, schedule and operating crew will be unchanged until early 2025.
"All customers already booked on Vistara flights after 12th November will automatically have their reservations converted to Air India flight numbers; this will occur in phases during September, and customers will be individually informed when this occurs," Wilson said.
He said that with the regulatory approvals now in hand, the movement of aircraft and crew from the Vistara Air Operator Certificate to Air India's has been set for 12 November.
"As we now embark on the final stretch of this long and complicated process, let's maintain the focus and effort to ensure that our collective customers and colleagues experience the smoothest of transitions," Wilson said in the message.
As per Singapore Airlines, the parties are in discussions to extend the long stop date for the completion of the merger. Earlier, it was expected to be 31 October, 2024.
The merger, which will create one of the biggest airline groups, was approved by the National Company Law Tribunal (NCLT) in June.
In the month of March this year, Singapore's competition regulator CCCS gave a conditional nod for the proposed deal.
Before that, in the month of September last year, the deal received approval from the Competition Commission of India (CCI), subject to certain conditions.
Vinod Kannan, Chief Executive Officer, Vistara, said:
“We are immensely grateful to all our customers for their support and patronage over the last 10 years. As we progress further in our growth journey, we want to emphasise that this merger is about offering them more choice with a larger fleet and a wider network, while elevating the overall travel experience.”
“Vistara and Air India are committed to ensuring that this transition is smooth and hassle-free. We are excited about this new phase in our journey and look forward to welcoming our customers again soon – as Air India,” Kannan adds.
On the efforts behind the merger process, Campbell Wilson, Chief Executive Officer & Managing Director, Air India, said:
“Cross-functional teams from Air India and Vistara have been working together for many months to make the transition of aircraft, flying crew, ground-based colleagues and, most importantly, our valued customers, into the new Air India as seamless as possible.”
On the new development, a set of Frequently Asked Questions has been prepared for passengers to help them with more information amid the merger process.
It's being understood that from 3rd September onwards, travelers trying to book flights departing on or after 12 November through Vistara's website will progressively be redirected to Air India's site to complete the booking.
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