Sunday, 24 November 2024
Airlines

Air India-Vistara merger to end Vistara brand

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(Photo from Vistara)

Following the completion of the merger of Air India and Vistara, the Vistara brand will be discontinued. 

Announced by Air India CEO Campbell Wilson during a recent virtual media event, the combined full-service airline under the Tata Group will continue to keep the Air India name – which was described as a more recognizable brand outside India.

“The intention is to have one full-service airline and one low-cost airline in the group. The full-service airline will be an amalgam of Air India and Vistara,” Wilson said.

While the post-merger airline will continue the Air India name, Wilson added that efforts will be made to retain some of the “Vistara heritage in that new manifestation.”

“Vistara has a very strong recognition in the Indian market but if you look outside the Indian market, clearly Air India is much more recognised and has a 90-year history… the future full-service carrier will be called Air India but we would like to retain and celebrate some of the Vistara heritage in that new manifestation,” Wilson added.

Currently, the merger between Air India and Vistara is in the process of seeking clearance from the Competition Commission of India (CCI).

In a deal announced in late November 2023, Vistara – the India-based joint venture airline between Tata Group and Singapore Airlines – would be merged with Singapore Airlines taking a 25% stake in the combined airline.

The deal is expected to be completed by March 2024. The combined carrier will be India’s largest international and the second-largest domestic airline.

In addition to the merger of the Tata Group’s two full-service airlines, Air India took on a 100% stake in budget carrier AirAsia India – previously a joint venture with the Malaysia-based AirAsia Group-which will lead to a merger with Air India Express.

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