My other writings
Cricket 24 x 7
Jaagruthi
Yahoo! 360
Mayajaal
My Bloglines
My 43 things
My LinkedIn
On Orkut
Badri's Tamil thoughts
Ganesh's Happily Haphazard
Nitin's Acorn
Prabhu's Pethals
Raghu the reluctant Delhiite
Samanth's blahg
Sankhya the busy idler
Srini the movie critic
Rabble Rousing Random Ramblings by S Jagadish is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 Unported License.
Jet Airways buys Air Sahara?
CNN-IBN reports that Jet Airways has bought out rival airline Air Sahara. While the exact amount Jet will shell out is unknown, I saw NDTV with a number of $500 million while CNN-IBN said $560 million.
Jet Airways apparently has nearly 40% market share in the domestic civil aviation sector while Air Sahara has around 10%. So, with a nearly 50% share of the market, Jet Airways would be in a great position to consolidate and face the challenge from the young pups, the low-cost airlines. I'm sure there will be a shake-out happening in that part of the industry over the next couple of years.
Meanwhile, what happens to the Rs. 300 odd crores paid by Air Sahara towards sponsoring the Indian cricket team? What happens if Jet Airways decides that it doesn't see value in associating itself with the cricket team?
Labels: airlines, aviation, jet airways
Rambled @ 12:31 AM
Did you like the post? [ Subscribe to the blog feed - |
kunal: Now they're talking of a 'strategic alliance' rather than a sale. To me, it seems like Jet buying Sahara is primarily because of the scarcest resource: qualified pilots at a time when so many airlines are spouting up. There is huge attrition and Jet needs the pilots and the pilots need a stable company.
By 
Jagadish (Jan 12, 2006, 6:29:00 PM)
I'd prefer if you posted comments with your real name to add more credibility to your opinions. Obviously comments containing offensive and unsuitable language will be deleted. The opinions in the comments are your own views. You are welcome to provide a URL to your own blog, especially if it discusses issues you find here.
Some of the links may now be broken/not take you to the expected report since the original content providers may have archived/removed the contents.
All opinions expressed are mine alone. My employers (past, present or future) are in no way connected to the opinions expressed here.
All pictures, photographs used are copyrights of the original owners. I do not intend to infringe on any copyright.
Pictures and photographs are used here to merely accentuate and enhance the content value to the readers.
Previous Posts
Confused commies?Straight from the horse's mouth
Why bother about a hotline when you have the media?
Indian team sponsor rights awarded
Four years after the Parliament attack
Post a Comment