Jet Airways confirms acquisition of Air Sahara

Jet Airways confirms acquisition of Air Sahara

A mega merger on the cards in the Indian aviation market. Jet Airways has confirmed that they are indeed taking over their rivals Air Sahara in a deal which is worth around USD 500 million. This makes it the biggest ever deal in the Indian aviation history and helps create the largest airline company in India.

Jet Airways was founded by London-based Naresh Goyal and controls around 35% of the Indian aviation market. Air Sahara controlled around 12% of the Indian aviation market. Market analysts believe that this takeover would help in consolidation of the aviation market in India and would help both the companies better utilize their resources.

Jet Airways with this acquisition would get access to Air Sahara’s fleet, air routes, and traffic. Naresh Goyal said in a statement on this acquisition news: “What we are really getting is parking slots, airport facilities, infrastructure, and the fleet. We will also absorb the pilots [since] we have a shortage of pilots, and cabin crew based on merit.”

He also clarified that they have no plans to convert Air Sahara as a low cost budget airline unit. A lot of low cost airline companies have originated in India and are very popular amongst the travelers who prefer to use them instead of traveling by railways.