New Delhi : In a significant move, Tata Sons will hike its stake to 41.06% in low cost carrier AirAsia India, reports PTI.
The airline, which is facing stiff competition, is also set for top management reshuffle with CEO Mittu Chandilya expected to be elevated as Managing Director in addition to his current responsibility. “We are in the process of subscribing to the capital of AirAsia India which will take up our stake to 41.06% from the current 30%, ” a Tata Sons spokesperson said.
Tata Sons is likely to acquire the additional stake from Arun Bhatia’s Telestra Tradeplace which currently holds 21% stake in AirAsia India. The no-frills carrier is a three-way joint venture in which Malaysia’s AirAsia Berhard owns 49%.In the three months ended March, AirAsia India posted a loss of Rs 19 crore.
