AirAsia gets formal FIPB approval for India venture
Mumbai (PTI): AirAsia on Friday announced that the airline has received formal approval from the Foreign...
Mumbai (PTI): AirAsia on Friday announced that the airline has received formal approval from the Foreign Investment Promotion Board (FIPB) to launch its airline service in association with the Tatas, thus paving the way for the companies to move the sector regulator DGCA for a licence to operator airline in the country.
"The application made by AirAsia through its investment arm, AirAsia Investment, to the FIPB seeking approval for a 49 per cent investment into a joint venture company named AirAsia India, partnering Tata Sons and Arun Bathia of Telestra Tradeplace, has been granted a formal approval on April 4," the Malaysian carrier said in a statement.
AirAsia, the largest low-cost airline in Asia, announced the joint venture with Tatas late February. The FIPB had last month approved the proposal. "This approval will enable AirAsia India to apply with the Directorate General of Civil Aviation for the aviation licence to operate as an airline," the statement added.
The proposed airline would operate from Chennai and would be focused on providing connectivity to small towns.A Currently, AirAsia operates in Thailand and Malaysia and already connects Chennai, Bangalore, Thiruchirapalli, Kochi and Kolkata to Asean and beyond.