Lagatar24 Desk
New Delhi, June 14: The Competition Commission of India (CCI) authorised the acquisition of AirAsia India’s entire shareholding by Air India, a wholly-owned subsidiary of Tata Sons, on Tuesday.
The proposed merger entails Air India Ltd, an indirect wholly-owned subsidiary of Tata Sons Private Limited, acquiring the entire equity share capital of AirAsia India Private Limited (TSPL).
CCI approves acquisition of entire shareholding in Air Asia India by Air India, a wholly-owned subsidiary of Tata Sons pic.twitter.com/TqUE8kFiYC
— CCI (@CCI_India) June 14, 2022
As a result of the decision, Malaysia’s AirAsia will exit the airline business nine years after entering India with high hopes. Air India had earlier sought an approval from the CCI for the proposed deal.
TSPL currently owns 83.67 percent of Air Asia India’s equity share capital, according to the CCI filing.
Together, the two companies will control 15.7 percent of India’s domestic passenger market. Air India Express is a subsidiary of Air India that does not fly domestically and only between India and the Gulf.
