Air India-Vistara Merger Completed: Tata Group Creates India’s Largest International Airline - The Chandigarh News
Air India-Vistara Merger Completed: Tata Group Creates India’s Largest International Airline

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Air India-Vistara Merger Completed: Tata Group Creates India’s Largest International Airline

New Delhi:

Air India-Vistara Merger Completed: In a landmark move for Indian aviation, Air India has officially merged with Vistara, forming the country’s largest international airline. This merger, announced in November 2022 and finalized recently, has led to an integrated airline partly owned by Singapore Airlines, and represents the second major consolidation in India’s airline industry after the 2006–2007 mergers of Air India with Indian Airlines and Air Sahara with Jet Airways.

AspectDetails
Merger Completion DateNovember 2022 announcement; finalized November 2024
Ownership StructureTata Group (majority) and Singapore Airlines (25.1% stake)
Combined Fleet300 aircraft (210 from Air India & Vistara; additional aircraft from Air India Express and AIX Connect)
Weekly FlightsOver 5,600 flights across 312 routes
Daily Passengers1,20,000+
Destinations90+ domestic and international
Codeshare & Interline Partners75+ partners offering connectivity to 800+ destinations globally
Frequent Flyer Program“Maharaja Club” (integrating 4.5 million Club Vistara members into Air India’s program)
Staff Strength30,000+ employees
Key Investment from SIA₹3,194.5 crore (USD 498 million)
Transformation ProgramVihaan.AI – commitments to 500 new aircraft, a $400 million retrofit program for legacy fleet interiors, and focus on elevating service quality

The expanded Air India now operates over 5,600 weekly flights across 90 domestic and international destinations with a fleet of 210 aircraft, transporting over 1,20,000 passengers daily. Singapore Airlines (SIA), Vistara’s previous co-owner, has invested an additional ₹3,194.5 crore in the enlarged entity, maintaining a 25.1% stake in the merged airline.

Air India-Vistara Merger Completed: Increased Connectivity and a Unified Fleet

The integration creates two major aviation segments under the Tata Group: a full-service carrier (Air India) and a low-cost carrier (Air India Express and AIX Connect). Together, they boast a combined fleet of 300 aircraft, offering extensive connectivity with 55 domestic and 48 international routes. The new entity also provides extended connectivity through 75 codeshare and interline partnerships, allowing Air India to offer over 800 destinations worldwide.

As of the merger, the fleet operates 312 routes, 8,300 weekly flights, and supports a staff of more than 30,000. With this milestone, the Tata Group aims to build a world-class global airline with a strong Indian identity.

Transitioning to the ‘Maharaja Club’

Air India’s loyalty program has seen a notable change as Vistara’s 4.5 million Club Vistara accounts are transferred to the rebranded “Maharaja Club.” The iconic “Maharaja” symbol of Air India will remain, albeit in a refreshed form in the unified brand.

The transition required a seamless integration of assets, staff, and operations, according to Air India Managing Director and CEO Campbell Wilson. “The teams worked closely together to ensure that the transition of people, assets, and customers was as seamless as possible,” he said.

A New Chapter for Indian Aviation

The last flights of Vistara with code ‘UK’ marked the end of the Vistara brand as standalone, with its final international and domestic flights being from Delhi to Singapore and Mumbai to Delhi, respectively. The merged entity’s first flight operated under the code ‘AI2286’ from Doha to Mumbai, symbolizing a new era for Indian aviation.

The merger aligns with Tata’s “Vihaan.AI” transformation program, which has committed to an order for 500 new aircraft and a $400 million investment in modernizing the interiors of legacy planes.

Tata Group’s Long Legacy in Aviation

With roots in the aviation industry dating back to 1932, Tata Group’s journey began when J.R.D. Tata established Tata Airlines, which later became Air India. Air India was nationalized in 1953, but after the government’s 2021 divestment, Tata Group regained control of its founding airline.