Air India will officially absorb Indian airline Vistara on November 12, marking the end of the Vistara brand. This move comes as part of a strategic merger plan announced in late 2022 by Vistara’s owners, Air India and Singapore Airlines, and is now set to proceed following the Indian government’s approval of a direct investment by Singapore Airlines into Air India.
Vistara, a joint venture launched by Tata Sons and Singapore Airlines in 2015, has grown into one of India’s leading full-service carriers. Singapore Airlines holds a 49% stake in Vistara. The merger plan, revealed in November 2022, will see the Vistara brand phased out, with Singapore Airlines investing $250 million to acquire a 25.1% stake in Air India Group. The Group also includes Air India Express and AirAsia India.
The approval from Indian authorities allows Singapore Airlines to proceed with its investment, paving the way for the integration of Vistara into Air India. As a result, Vistara customers will no longer be able to make bookings for travel beyond November 11, with itineraries now available exclusively through Air India.
This consolidation aims to strengthen Air India’s position in the competitive Indian aviation market by combining the strengths of Vistara’s premium service and Air India’s extensive network. The merger is a significant step in Tata Sons’ broader strategy to enhance Air India’s global presence following its acquisition from the Indian government in early 2022.
As the integration progresses, Vistara’s fleet, staff, and services will be merged into Air India, with a focus on maintaining and elevating the high service standards that Vistara customers have come to expect. The combined entity is expected to provide a more unified and expansive offering to passengers both domestically and internationally.
