Air India completed the Vistara merger on Tuesday, forming an integrated airline partly owned by Singapore Airlines, which will carry over 120,000 passengers daily and connect more than 90 destinations.
Long-anticipated meregr
The long-anticipated merger, initially announced in November 2022, follows the recent integration of Air India Express and AIX Connect by just six weeks. These two mergers have established both a full-service carrier and a low-cost carrier for the Tata Group, which aims to build a “world-class global aviation company with an Indian heart.”
Earlier in the day, Vistara, a joint venture between the Tatas and Singapore Airlines that had operated for nearly a decade, completed its last flight from Delhi to Singapore, marking a significant consolidation in the Indian aviation sector.
As a result of the merger, Singapore Airlines (SIA) will invest an additional ₹3,194.5 crore in the expanded entity.
Enlarged Air India now operates more than 5,600 weekly flights
The enlarged Air India now operates more than 5,600 weekly flights, connecting over 90 domestic and international destinations with a fleet of 210 aircraft, as outlined in a release.
Additionally, the merged airline will serve over 120,000 passengers daily, offering extended connectivity to more than 800 global destinations through over 75 codeshare and interline partners.
This consolidation has made the airline the largest international carrier in the country and the second-largest domestic carrier.
300 aircraft Air India fleet
Air India noted that, following the merger, the combined fleet of 300 aircraft will cover 55 domestic and 48 international destinations, totaling 312 routes and 8,300 weekly flights. The workforce now comprises over 30,000 employees. Although Vistara’s flight code “UK” is now retired, the airline’s flights will adopt the code prefix “AI2,” allowing customers to make choices based on Vistara’s service reputation.
Managing Director and CEO Campbell Wilson remarked that the merger between the two airlines concludes the consolidation and restructuring phase of the Group’s post-privatization transformation. Teams across the four airlines, alongside other stakeholders, have collaborated closely over the past two years to ensure that the transition of people, assets, operations, and customers proceeded smoothly.
Maharaja Club
The iconic “Maharaja,” long associated with Air India, will be retained in a modified form within the merged entity. Approximately 4.5 million Club Vistara frequent flyer accounts have transitioned to Air India’s Flying Returns program, now rebranded as “Maharaja Club.”
Among various aspects of the integration, the airline reported consolidating over 4,000 vendor contracts and migrating 270,000 customer bookings.
Vistara’s final flight, coded “UK115,” flew from Delhi to Singapore, and its last domestic flight, “UK986,” operated from Mumbai to Delhi. The merged entity began a new chapter with its inaugural flight, “AI2286,” from Doha to Mumbai.
In domestic operations, the integrated entity’s first flight, “AI2984,” departed from Mumbai to Delhi, with all four flights landing at their destinations early on Tuesday morning.
Second major airline industry merger since 2006-2007
The merger also represents India’s second major airline industry consolidation since 2006-2007, making Air India the country’s sole full-service Indian carrier.
In 2006-07, Indian Airlines merged with Air India, Air Sahara with Jet Airways, and Air Deccan with Kingfisher Airlines.
Together, Air India, Vistara, and AIX Connect held a domestic market share of just over 29 percent in September, according to recent data.
Read More: Air India-Vistara Merger: Here Is How To Know If You Are On A Vistara Or Air India Flight
