Turbo Megha Airways (Hyderabad International) is in talks with Megha Engineering and Infrastructures concerning the sale of a majority stake in the start-up to the Hyderabad-based firm.

"MEIL (Megha Engineering and Infrastructures) has shown interest and talks are currently on. We expect to close the deal in a month or so," Vankayalapati Umesh, Turbo Megha's managing director, told India's Economic Times.

Having secured its No Objection Certificates (NOC) from the Indian Ministry of Civil Aviation in July, Turbo Megha is now looking to raise INR700million (USD11.45million) in start-up capital ahead of its planned December launch.

"I have the required domain expertise and operational capabilities but certainly not the financial muscle," Umesh said, adding, "Hence the talks with my large customers of charter aircraft for equity investment."

As previously reported, the airline has held talks with ATR - Avions de Transport Régional (EVX, Toulouse Blagnac) and Embraer (EMB, São José dos Campos Professor Urbano Ernesto Stumpf) regarding the lease of at least three aircraft. The E140 is believed to be a strong potential candidate for Turbo Megha's intended route network which will focus on India's southern states.

Thus far, eighteen Tier II cities including Vijayawada, Vishakhapatnam, Tirupati, Rajahmundry, Kadapa, Coimbatore and Salem, TN are currently under consideration.