Singapore’s Competition and Consumer Commission (CCCS) has conditionally approved the merger of Vistara, owned 49 percent by Singapore Airlines (SIA), into Air India. The approval outlines SIA’s 25.1 percent stake in the merged entity, with the remaining stake held by Tatas.
The Competition and Consumer Commission of Singapore (CCCS) has granted conditional approval for the merger of Vistara, a Singapore Airlines (SIA) subsidiary, into Air India. Under the approved terms, SIA will secure a 25.1 percent stake in the merged Air India entity, while the remaining stake will be held by Tatas.
The CCCS expressed concerns about potential competition issues, specifically noting the significant number of flights operated by both airlines between key Indian cities—Delhi, Mumbai, Chennai, and Tiruchirapalli—and Singapore. Despite existing competition from other airlines on these routes, the regulator identified sustained substantial market share and highlighted potential price and capacity coordination that could impede competition.
In a statement, the CCCS acknowledged the presence of competing airlines but emphasised that the confluence of the transactions could result in significant restrictions on competition for the affected routes. The conditional approval comes with measures aimed at addressing these concerns and promoting a competitive environment in the aviation sector.
