CCI Greenlights Merger of Tata SIA Airlines with Air India

Tata SIA Airlines Merger with Air India Receives CCI Approval

C-2023/04/1022 CCI approves the merger of Tata SIA Airlines into Air India, and acquisition of certain shareholding by Singapore Airlines in Air India subject to compliance of voluntary commitments offered by the parties.#CCIMerger #Mergers pic.twitter.com/QihGf4xxus

— CCI (@CCI_India) September 1, 2023

The CCI approval of the merger is a major step forward for the Tata Group, which is now the largest airline group in India. The merger is expected to create a more efficient and competitive airline industry in India. The CCI’s approval of the merger of Tata SIA Airlines with Air India is a positive development for the Indian aviation industry. The merger is also expected to create a more efficient and competitive industry which will benefit customers.

The CCI approved the merger with certain conditions include

• Tata SIA Airlines will be divesting its strike in the Air India Express.

• The merged entity will not enter into any codeshare agreement with any other airline for a period of 5 years.

• Air India will divest its entire stake in the Air India Express.

• The merged entity will not increase its market share in any domestic route by more than 10% for a period of five years.

• The approval of the merger by the CCI is a major step forward for Tata Group, and it will be more efficient and competitive in the Indian airline industry.

The CCI is satisfied with the commitments made by the Tata Group to divest its stakes in Air Asia India and the India Express. These will be helpful to reduce the concentration of power in the hands of the Tata Group. Indigo is still the market leader, and there are several other smaller airlines operating in India.

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