AIX Connect, the new low-cost carrier to be formed by merging AirAsia India and Air India Express, is anticipating drastic changes in the new year right from team integration to increased share capital. The CEO of Air India Express, Aloke Singh took charge as the head of AIX Connect on January 1, 2022. In his letter to the employees, Singh said: “While it is sad to see AirAsia go, there is plenty to look forward to in terms of bringing together the strengths of the two airlines (AIX Connect and Air India Express) and working towards creating a robust new organization.”
“AirAsia India Pvt Ltd (AAIPL), now AIX Connect, will sunset in India and there will be a robust new low-cost carrier with a formidable pan-Asia network and meaningful domestic presence with new fleet,” Singh said in his message.
The merger of two airlines will take almost a year with Singh overseeing the day-to-day operations of over 150 employees working together on dozens of essential workstreams for the eventual merger.
“The path ahead will be challenging. But we have a monumental opportunity to build something we can be proud of. And what we create will be game-changing for the industry as well,” the letter further read.
Going ahead, the Tata Group plans to merge Air India and Vistara for streamlining all its airline business. Also, after merger, all the airlines will share a common website, according to sources. With this the passengers will have an option to travel on a single ticket on both Air India and AI Express flights based on their requirements and preferences.
AIX Connect will also see an increase in flight operations, with the Tata Group raising its share capital from $629 million to $1.2 billion and also increase its borrowing limit from $338 million to $544 million. This will help the Tatas to issue more shares and provide more capital to the business. This done just a day after Air India got complete control of AirAsia India after buying it from the AirAsia Group in November 2022.