Tata Sons & Singapore Airlines infuse Rs 750 cr in Vistara

Tata Sons would infuse rupees 382.5 crore and Singapore Airlines would infuse rupees 367.5 crore in Vistara.

 

The Tata Sons and Singapore Airlines Limited that together own premium carrier Vistara have infused rupees 750 crore into it.

 

According to data by Tofler, the latest round of funding, the Tata Sons has invested rupees 382.5 crore, while Singapore Airlines has invested in Rs 367.5 crore.

 

This is the Vistara's fifth round of funding by the owners since April 2020 as Vistara struggles amidst the Covid-19 pandemic.

 

This capital investment comes at a time when Indian airlines are struggling to stay buoyant amidst travel restrictions due to the pandemic.

 

Thw Tata Sons and Singapore Airlines had pumped in rupees 465 crore in May, rupees 585 crore in November 2020, rupees 750 crore in July and rupees 200 crore ink April.

 

The Tata Sons owns 51 percent of the Vistara Airlines , while the remaining share is owned by Singapore Airlines.

 

The Vistara's board has approved the allotment of 75 crore shares of rupees 10 each to the two promoters. However, they are yet to make an official announcement on the funding.

 

However, Vistara’s losses continue to mount, from rupees 400 crore in FY16, its net loss had breached to rupees 1,813 in FY20.

 

The Tata Sons aims to continue its domination in the aviation sector after Vistara and Air Asia India, the agglomerate venture is also eyeing Air India which the government wants to deprive by the end of the year.

India Scanner News Network

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