Jet Airways and Jet Lite to merge
Indian full-service carrier Jet Airways will merge with wholly owned subsidiary low-cost carrier Jet Lite, following agreement from the respective boards of directors.
“The merger of Jet Lite into Jet Airways is a key step to strengthen Jet Airways’ operations and create a seamless organisation, delivering exceptional service to its guests,” said Naresh Goyal, Jet Airways chairman.
Jet Lite will become part of Jet Airways but will continue to be operated as a separate entity.
The merger will streamline operations of Jet Airways’ domestic network and provide synergies in compliance and administration and reduced costs, the company said.
The markets agreed, with shares in Jet initially rising 5% following the news.
Jet Airways shares finished the day up more than 2% on Thursday.
The loss-making low-cost carrier was established after Jet Airways acquired Sahara Airlines in 2007 and renamed it to Jet Lite.
Bev
Editor in chief Bev Fearis has been a travel journalist for 25 years. She started her career at Travel Weekly, where she became deputy news editor, before joining Business Traveller as deputy editor and launching the magazine’s website. She has also written travel features, news and expert comment for the Guardian, Observer, Times, Telegraph, Boundless and other consumer titles and was named one of the top 50 UK travel journalists by the Press Gazette.
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