New Delhi, Aug 29:
Singapore Airlines (SIA) said it would carefully consider any request from Air India for additional capital, taking into account the group’s own investment requirements and the Indian carrier’s business strategy. The statement comes amid reports that Air India is seeking around $1.5 billion (over Rs 14,000 crore) from its owners, Tata Sons and SIA.
Air India, acquired by the Tata Group in January 2022, is currently undergoing a major transformation under the Tata Group’s ownership. Singapore Airlines holds a 25.1% stake in Air India and has been supporting the carrier’s restructuring and expansion plans alongside Tata Sons.
An SIA spokesperson said the airline’s board would assess any request for additional funds as part of its broader capital allocation process. The evaluation would take into consideration SIA Group’s operating cash flow, investments in new aircraft and products, and other major commitments, including its investment in Air India.
The development comes against the backdrop of continuing concerns over Air India’s financial performance and the scale of investment required to transform the airline into a globally competitive carrier.
Singapore Airlines said that, as a significant minority shareholder, it continues to work with Tata Sons in supporting Air India’s transformation programme. However, its latest comments indicate that any further funding would be subject to a careful assessment of the airline’s strategy and SIA Group’s own financial priorities.