On Wednesday, April 27, the Competition Commission of India (CCI) notified that Air India has proposed to acquire a 100% stake in AirAsia India.
As per the notification released by CCI under Section 5(a)(i)(A) & 5(b)(i)(A) of the Competition Act, 2002, the proposed combination is for the acquisition of entire equity share capital of AirAsia India by Air India. Currently, TSPL holds an 83.67% stake in Air Asia India.
“The proposed combination will not lead to any change in the competitive landscape or cause any appreciable adverse effect on competition in India, irrespective of the manner in which the relevant markets are defined,” CCI further stated.
Both Air India & AirAsia India are operated by the Tata Sons. Air India is a wholly-owned subsidiary of Tata which was bought in 2021 from the GOI. Whereas Malaysia’s AirAsia has a 16.33% stake in AirAsia India.