Tatas raise stake in AirAsia India to 51%

New Delhi: Tata group has increased its stake in AirAsia India to about 51% and, along with its partner AirAsia Investments, infused Rs 500 crore into the budget airline to fund its international growth plans, two people aware of the development told ET.

With this the group has consolidated its position in the aviation sector, holding controlling stake in two airlines — the second being Vistara that is 49% owned by Singapore International Airlines. Earlier, both Tata group and AirAsia had 49% stake each with Tata Trusts managing partner R Venkataramanan and group executive S Ramadorai holding the rest. “Stake allocation to Venkataramanan and Ramadorai was a business decision and the group now owns 51% in the airline,” one of the sources said. Documents accessed by ET show that the airline has got an infusion of Rs 500 crore on April 8, 2019, and 51% of it came from Tata group.