Tata Sons has held exploratory talks with Singapore Airlines (SIA) for a potential merger of Vistara with Air India, multiple sources told The Indian Express.
Tata Sons holds 51 percent stake and Singapore Airlines owns 49 percent stake in the partnership company registered as TATA SIA Airlines Limited.
The Singaporean company’s management asked for more time to decide whether to proceed with matter. SIA is waiting until the end of 2023 as they hope to improve their financial situation by that time. Tata had earlier discussed Vistara's merger issue with SIA but it did not go ahead becuase of the poor financial situation due to Covid.
Vistara on Wednesday reinstated the salaries and flying allowance of its pilots to pre-pandemic levels as its flight operations are recovering "at an unprecedented pace".
"Further to reinstating the monthly bonus for all pilots from the month of April 2022, subject to the average global active hours for the preceding month being at least 70, I am very pleased to announce that the base flying allowance (BFA) reduction is also reinstated," Capt Hamish Maxwell, Senior Vice President - Flight Operations, Vistara said in his e-mail to the airline's pilots.
Meanwhile, Campbell Wilson, the former Chief Executive Officer of the Singapore Airlines' wholly-owned subsidiary Scoot Air has been appointed as Chief Executive Officer and Managing Director of Air India, now owned by the Tata Group. "The Air India board approved the appointment of Wilson subject to requisite regulatory approvals, the company," Tata Sons said in a statement on Thursday.
The Tata Group took control of Air India on January 27, after successfully winning the bid for the airline on October 8 last year.