Air India Limited entered into an implementation agreement to acquire 49% stake in Tata SIA Airlines Limited from Singapore Airlines Limited.
Air India Limited entered into an implementation agreement to acquire 49% stake in Tata SIA Airlines Limited from Singapore Airlines Limited (SGX:C6L) on November 29, 2022. As per the transaction, Singapore Airlines Limited will receive 2,554 fully-paid up equity shares of face value of INR 4 of Air India Limited for every 1,000 fully paid-up equity shares held by Singapore Airlines Limited in Tata SIA Airlines Limited. Post the consolidation, Singapore Airlines Limited (SGX:C6L) shall hold 25.1% shareholding in Air India. Vistara will be known in the name of Air India post completion. The transaction is subject to approvals from various Indian regulatory authorities, including inter alia, the Directorate General of Civil Aviation, the Ministry of Civil Aviation and the Reserve Bank of India, anti-trust and merger control clearances and approvals in India (the Competition Commission of India), Singapore (the Competition and Consumer Commission of Singapore) and other relevant jurisdictions. The transaction is estimated to be completed by March 2024. As of April 19, 2023. India's Tata Group seeks antitrust approval for Air India-Vistara merger. As of September 1, 2023, the Competition Commission of India have approved the transaction.
J.P. Morgan Securities Asia Private Limited acted as financial advisor to Singapore Airlines Limited. Zia Mody, Divya Mundra and team of AZB & Partners acted as legal advisors to Tata Sons Private Limited in this transaction. Shardul Shroff, partners Nivedita Tiwari and Devesh Pandey, Amit Singhania, Gouri Puri, Rajat Bose, VR Neelakantan, Naval Chopra and Rohan Arora, Pooja Ramchandani and Kriti Kaushik, Aashish Gupta of Shardul Amarchand Mangaldas & Co acted as financial, tax and legal due diligence provider to Singapore Airlines Limited in this transaction. BofA Securities India Limited acted as financial advisor to Tata sons, parent of Air India Limited. RBSA acted as fairness opinion provider to Air India.