MUMBAI, Aug. 15, 2005
BAIJU KALESH & RUMI DUTTA
TNN
The Hindujas are back to their favourite passion:
Aviation. After closing down their cargo venture with
German Lufthansa Airline in 2001, the UK-headquartered
NRI family is reviving its interest in the aviation
business. This time, they are quietly designing a
grand plan that includes an entry into domestic and
international aviation as well as cargo, all in one
stroke, without violating the country's civil aviation
guidelines.
While the plans are at an advanced stage of finalisation,
the ground work in terms of getting regulatory clearances
is yet to begin, sources said. The new company is
likely to be christened Hinduja Airlines.
AK Das, V-C, Hinduja group told TOI, "We have
always been keen on the domestic aviation industry.
Moreover, having an airline business in portfolio
would be a logical extension to the group's transportation
business. We are, however, not in a position to comment
any further at this juncture."
There had been speculation that Hindujas could look
at a possible strategic alliance with Air Sahara,
which is understood to be scouting for a strategic
partner. But Das categorically denied any such plans.
Industry sources said that the Hindujas may find
it easier to revive its old relationship with Lufthansa
or even choose to join hands with an UK carrier for
its global operations through some kind of a hub-and-spoke
arrangement.
Das declined to comment about the funding to the
proposed venture which industry experts believe to
be around Rs 300 crore for a start up venture. Earlier,
the group's bid for A-I via a JV with Lufthansa was
rejected.
The venture could mark the group's re-entry into
aviation. Its cargo venture — christened Hinduja
Lufthansa Cargo — operated flights between Europe
and Indian subcontinent with its hub in Sharjah
