New Delhi [India]- Air India on Wednesday revealed that it signed contracts to complete the purchase of 100 per cent shareholding in AirAsia India and also to subsidiarise it under Air India.

A functional review process is underway for ultimately incorporating AirAsia India fully with Air India Express (AIXL). Loan consolidation of these two airlines, both of which run as affordable providers, will be taken on as part of the restructuring roadmap that is being imagined for the Tata Team’s airline company as well as is expected to bring customer, profits, cost and also functional benefits via wider adoption of each airline’s finest techniques, systems and also courses, and also the combined entity’s better range, Air India claimed.
Air India said a working team has been developed to review and also implement the combination of the AI Group’s low-priced operations, which will certainly be co-led by Sunil Bhaskaran, president and handling supervisor, AirAsia India, and Aloke Singh, CEO, Air India Express. The working team will report to a committee chaired by Air India MD and CEO, Campbell Wilson.

The analysis and execution of full assimilation process of AirAsia India as well as AIXL, via a feasible scheme of merging or otherwise and also subject to essential business authorizations, is anticipated to take around twelve month, with network and also other harmonies to be understood gradually during that duration, Air India claimed.

Commenting on the development, Campbell Wilson, CEO and MD, Air India, said, “We are thrilled to launch the development of a solitary Air India Team low-cost service provider. This is a vital action in the rationalisation and also transformation of the Team, as well as we will be functioning closely with the monitoring teams as well as staff throughout the process. We additionally expect the many new opportunities a more powerful AI Team low-priced carrier will certainly bring for consumers and personnel alike.”