InvestorQ : Is it true that Rakesh Jhunjhunwala is planning to float an airline company?
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Is it true that Rakesh Jhunjhunwala is planning to float an airline company?

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Mary Joseph answered.
5 months ago
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That is absolutely correct and in fact Rakesh Jhunjhunwala has also charted out a very aggressive plan to procure 70 aircraft in next 4 years. The idea is to launch a new ultra-low-cost airline to cater to the mass market, which still stays off flying. Mr. Jhunjhunwala plans to invest $35 million of his own money to own 40% of the airline and give a head start to the business and ensure its success in India.

As of now, the approval from the Civil Aviation Ministry is awaited. The airline will be called Akasa Air and planes will carry 180 passengers per trip. It needs no reiteration that Jhunjhunwala made his billions investing in the Indian equity story. In fact, some of his major holdings like Titan and Lupin are part of Dalal Street folklore. However, the challenge of high costs and post-pandemic paradigm remain a major headwind for airline industry.

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