India’s full-service carrier Vistara has received another round of funding from its promoters. The cash infusion is the latest in a series of others and comes ahead of the summer schedule. The airline is also on an expansion mode, hiring more employees, adding more planes, and increasing its network. The extra cash in the pot is expected to help fuel all these plans.
Vistara receives millions more
According to the filing with the Ministry of Corporate Affairs accessed by The Indian Express, Vistara’s promoters have infused another ₹500 crore (approx. $65 million) into the airline. Vistara is jointly owned by the Indian conglomerate Tata Sons and Singapore Airlines in a 51:49 shareholding structure.
The amount put in also corresponds to the owners’ proportion in the airline, with Tata Sons contributing ₹255 crore (approx. 33.3 million) and Singapore Airlines ₹245 crore (approx. $32 million).
The investment comes less than a month after the Tatas paid hundreds of millions upfront to the government to buy Air India and took on billions of dollars worth of the carrier’s debt. The Indian company now owns four airlines – Air India, Air India Express, Vistara, and AirAsia India.
Vistara has received millions from its owners in the last couple of years. Photo: Airbus
Previous funding
Founded in 2013, Vistara launched operations seven years ago in 2015. Since its inception, the carrier has had strong financial backing from Tata Sons and Singapore Airlines.
In the last couple of years alone, it has received several rounds of funding from its owners, including the ₹750 crore (approx. $1 billion) in August last year. This was in addition to ₹465 crore it received (approx. $61 million) a few months before in May 2021.
The cash-infusion strategy at several stages has helped the carrier sustain through the pandemic. While Vistara’s overall business suffered in the last two years, it was able…
