Kingfisher, Deccan swap to be finalised by April
The swap ratio of shares of Kingfisher Airlines Limited and Deccan Aviation Limited will be finalised by April, after which the former will merge with the latter, a Kingfisher official said.
Executive Vice-President of Kingfisher Airlines Rajesh Verma said that approval of the government and SEBI was awaited for the merger of the two airlines.
Verma said that post-merger, Kingfisher would operate as a full service aircraft (FSA), while Deccan would continue to function as a low-cost carrier.
Although Deccan Aviation would cease to exist, the Deccan brand would continue as a brand differentiator, he told.
Based on a report prepared by Accenture, the two airlines had agreed on the merger. Verma said that Accenture was also looking at the management structure of the two companies. Their report would be submitted next month, he said.
While Vijay Mallya was the Chairman of the merged entity, Captain Gopinath was the vice-chairman.
Kingfisher would get delivery of five A340s and five A330s before August for its overseas operations.
During August, Kingfisher plans to start flights to New York and San Francisco by the end of August from Bangalore.