AirAsia India (Bengaluru International) has received a fresh capital injection of INR4.7 billion rupees (USD65.6 million) from its two owners, Tata Group and AirAsia Group, the Financial Express has reported citing Ministry of Corporate Affairs filings.
The two owners split the investment proportional to their shareholdings in the company, with Tata Group injecting 51% of the funding - INR2.4 billion (USD33.5 million) - and AirAsia Group injecting 49% or INR2.3 billion (USD32.3 million).
It is the second large recapitalisation of AirAsia India this year after a INR5 billion (USD70.8 million) injection from the owners in April.
In its last fiscal year, which ended on March 31, 2019, AirAsia India posted a net loss of INR6.7 billion (USD94.8 million).
The low-cost carrier has, however, ambitious growth plans with a strategy to increase its fleet to 100 aircraft by 2025. According to the ch-aviation fleets module, the airline currently operates twenty-eight A320-200s, with five units delivered during the last month. AirAsia India plans to have 29 aircraft at the end of 2019.
The Financial Express also reported that Vistara (UK, Delhi International), a full-service airline which is also controlled by Tata Group with a 51% stake, has also received a INR6 billion (USD84.9 million) capital injection from its owners. Tata Group's joint venture partner in Vistara is Singapore Airlines Group which controls the remaining 49%. The airline currently operates thirteen A320-200s, sixteen A320-200neo, and nine B737-800s, and is preparing to take delivery of its first B787-9s.
