Monopolies and Restrictive Trade Practices Commission (MRTPC) said on Friday that the takeover of Air Sahara by Jet Airways "does not appear" to warrant any immediate probe, though it would "look into" various aspects after the deal is formally sealed.
"It does not appear to warrant any immediate probe as there seems to be no threat of any monopolistic or restrictive practice following the takeover," MRTPC Chairman BK Rathi said.
He said the presence of other aviation companies like state-controlled Indian and private Air Deccan and Kingfisher Airlines meant that there could not be a monopoly of a single operator.
"The market share does not mean anything," Rathi said, when pointed out that the new entity would command about 45 per cent market share.
He said MRTPC will wait for the completion of the entire process related to the takeover, including regulatory approvals. "All the formalities are yet to be completed and only after that we will get details on the matter," he said.
Jet Airways yesterday announced a deal to take over Sahara Airlines for 500 million dollars (about Rs 2,300 crore) in cash, a move that would push it domestic market share up to 45 per cent.
{{/usCountry}}Jet Airways yesterday announced a deal to take over Sahara Airlines for 500 million dollars (about Rs 2,300 crore) in cash, a move that would push it domestic market share up to 45 per cent.
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