Air India completes Vistara merger - India's Top Travel News Source: TravelBiz Monitor

Air India completes Vistara merger

 

 

Air India Group has successfully completed the operational integration and legal merger between Air India and Vistara, marking a significant step in its post-privatisation transformation journey. This follows the earlier merger of the Group’s low-cost airlines, Air India Express and AIX Connect, on October 1, 2024. The consolidation of the four Tata-owned airlines into one full-service and one low-cost airline is a key part of Air India’s five-year transformation program, Vihaan.AI, aimed at positioning the group as a world-class aviation company with a distinct Indian identity.

 

The unified Air India Group now operates more than 8,300 weekly flights across 312 routes, connecting over 100 domestic and international destinations with a fleet of 300 aircraft. Air India, as the new full-service entity, operates over 5,600 weekly flights and connects more than 90 destinations globally with a fleet of 208 aircraft. The airline is set to fly over 120,000 passengers daily and offers extended connectivity to over 800 destinations through numerous codeshare and interline partners.

 

The merger process, which began over two years ago, has involved significant efforts in harmonising operating procedures, consolidating vendor contracts, migrating customer bookings, and aligning IT systems. Over 6,000 Vistara staff have been integrated into the new structure, and more than 270,000 bookings have been successfully transferred. Additionally, Air India’s recently redesigned frequent flyer program, Maharaja Club, has absorbed 4.5 million Club Vistara members.

 

Air India’s transformation program has also seen substantial investments, including the acquisition of over 500 new aircraft and a USD 400 million retrofit program for existing aircraft. A new training facility has been opened, and a 12-bay maintenance base is under construction. The merger, supported by India’s DGCA, MoCA, BCAS, and international regulators, marks a crucial milestone in Air India’s journey to becoming a globally competitive airline.

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