Concorde001
Topic Author
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Air Sahara Up For Grabs?

Thu Sep 29, 2005 5:11 am

Just read this in the Times of India!
Apparently, Air Sahara may be taken over by rival Indian carriers.
Here's the link:

http://timesofindia.indiatimes.com/articleshow/1245904.cms

If foreign ownership rules were lifted, I think Air Sahara could be made into a successful franchise for some carriers!
Virgin would love to, SRB is always going on about investing in an Indian airline.
BA could make Air Sahara a franchise - like Comair in South Africa - Air Sahara are already allied with BA and AA!
 
aseem
Posts: 1971
Joined: Tue Feb 01, 2005 12:39 pm

RE: Air Sahara Up For Grabs?

Thu Sep 29, 2005 6:04 am

interesting times ahead. Also heard it in one of the threads that among the indian carriers SpiceJet is contemplating taking over. Don't think GOI will allow foreign carriers to take over S2, although SRB must be salivating already.
Jet doesn't need Sahara.
Indian Airlines, Kingfisher and Air Deccan don't need different kind of aircraft.
AI Express shall be getting its own B738s.
so who besides the lesors would want S2's planes? But its not just planes but overseas rights. So if suppose SpiceJet get overseas rights because of take over, then Vijaya Mallaya is not going to keep quite.
The report says that the financials of the airlines are not in public domain, which is not at all surprising. Maybe that is what is keep away relatively clean guys.
rgds
VT-ASJ

p.s.what a topic for my 1000th post.

[Edited 2005-09-28 23:34:08]

[Edited 2005-09-28 23:35:25]
ala re ala, VT-ALA ala
 
LAXDESI
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RE: Air Sahara Up For Grabs?

Thu Sep 29, 2005 7:38 am

Quoting Aseem (Reply 1):
Jet doesn't need Sahara

True, but it gets to reduce competition on international routes for another three plus years and acquires a well established Delhi hub. It may be worth it depending on the price.

Quoting Aseem (Reply 1):
Kingfisher and Air Deccan don't need different kind of aircraft

IMO, aircraft type incomatibilty is not a deal breaker. Between the three, I would like to see Kingfisher take control of Sahara.

AI could benefit by taking over Sahara but perhaps does not have the resources to do so. It could turn Sahara into a domestic equivalent of Air India Express.
 
aseem
Posts: 1971
Joined: Tue Feb 01, 2005 12:39 pm

RE: Air Sahara Up For Grabs?

Thu Sep 29, 2005 7:44 am

Quoting Laxdesi (Reply 2):
I would like to see Kingfisher take control of Sahara.

their deal fell apart long back..if i may say so, this is the second rumour. The earlier one was regarding Kingfisher.
rgds
VT-ASJ
ala re ala, VT-ALA ala
 
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HAWK21M
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RE: Air Sahara Up For Grabs?

Thu Sep 29, 2005 3:45 pm

I wonder how true this News really is.
regds
MEL
I may not win often, but I damn well never lose!!! ;)
 
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AirIndia
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RE: Air Sahara Up For Grabs?

Thu Sep 29, 2005 4:01 pm

Quoting HAWK21M (Reply 4):
I wonder how true this News really is

I think they have appointed E&Y as their advisors for the same. So I guess they are serious.

Also another question, can SRB not float a company registered in India, say Virgin Atlantic India or something and then bid for S2 thru that. Would GOI approve of that.....?
 
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HAWK21M
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RE: Air Sahara Up For Grabs?

Thu Sep 29, 2005 4:15 pm

Quoting AirIndia (Reply 5):
can SRB not float a company registered in India

I think Owner & 2/3 of Directors need to be Indian.
regds
MEL
I may not win often, but I damn well never lose!!! ;)
 
Pomnath
Posts: 384
Joined: Sat Oct 01, 2005 6:55 am

RE: Air Sahara Up For Grabs?

Sat Oct 01, 2005 7:30 am

Air Sahara management has confirmed that they are looking for strategic investors. Their name has been up at Heathrow-3 for the past 4 months, since May'05, and they haven't launched a service as yet on the India-UK run.

Not really up for grabs, but yes, looking to expand outwards.
Sea to Sky, Racists should Die!!
 
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HAWK21M
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RE: Air Sahara Up For Grabs?

Sat Oct 01, 2005 1:29 pm

Quoting Pomnath (Reply 7):
Air Sahara management has confirmed that they are looking for strategic investors. Their name has been up at Heathrow-3 for the past 4 months, since May'05, and they haven't launched a service as yet on the India-UK run.

Not really up for grabs, but yes, looking to expand outwards.

What happened to their A330 plans.
regds
MEL
I may not win often, but I damn well never lose!!! ;)
 
stealthpilot
Posts: 502
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RE: Air Sahara Up For Grabs?

Sun Oct 02, 2005 2:53 am

Quoting Pomnath (Reply 7):

Not really up for grabs, but yes, looking to expand outwards.

They want to sell 75% of their equity..... close enough thought  Smile
(good thing as well)
-Nikhil
eP007
 
karan69
Posts: 2699
Joined: Mon Oct 04, 2004 7:57 pm

RE: Air Sahara Up For Grabs?

Sun Oct 02, 2005 4:07 am

If SpiceJet get their hands on S2 it will be a too much too soon situation for them to handle.
Lets face the facts most of the 737 S2 has are leased, all the CRJs are leased, the only reason they had a 17% market share was because earlier there was no SJ/DN.
Infact DNs market share in 2003 was 1% and today it is 10%. the only advantage SJ would have in taking over S2 would be the advantage of its slots at DEL and as mentioned above the rights to fly international. But then again SJ would be like a BMI on a DEl-LHR flight who is not so recognised nationally let alone internationally.

So in the end barring the DEL slots it makes no sense for SJ to take charge ,

However otoh if 9W were to take control of S2, they would eliminate their sole internationally allowed domestic private operator for the next 5 yrs and as said above gain total control of Indias Capital, which would eventually see them take control over 50% of Indias market share, not to mention the international sectors that would follow.

Just my 2 paise worth
 
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HAWK21M
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RE: Air Sahara Up For Grabs?

Sun Oct 02, 2005 8:51 pm

Anyone having the staistics of Pax load in the Domestic sectors Percentagewise per Airline in the last quarter.
regds
MEL
I may not win often, but I damn well never lose!!! ;)
 
georgiabill
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Joined: Sat Mar 01, 2003 11:53 pm

RE: Air Sahara Up For Grabs?

Sun Oct 02, 2005 10:24 pm

I think Jet is looking at this option. The fleets are compatible. Excess capacity could be returned to lessors or leased out. Removing them as a competitor in the international markets will be a plus.
 
Concorde001
Topic Author
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RE: Air Sahara Up For Grabs?

Sun Oct 02, 2005 10:28 pm

If Jet acquire S2, then what will happen to the agreement signed by AA and BA with S2? Null and void??
 
Pomnath
Posts: 384
Joined: Sat Oct 01, 2005 6:55 am

RE: Air Sahara Up For Grabs?

Tue Oct 04, 2005 3:22 pm

The name Neera Radia is doing the rounds as a potential investor, though who she will be investing on behalf of is still unclear. There is some reason to believe that it may be on behalf of Wadia's GO. The kind of money S2 expects makes sense only for a newcomer.

Another thing is that Air Sahara have not been issuing counter offers for ground staff leaving for other airlines at higher salaries, as they were doing in the past. Likewise, onboard, the "Bid-n-Win" has been discontinued w.e.f. 01st October'05 as that used to have a mid-term liability. And there is no tangible information at all about their London operations.

The S2 and 9W Boeing-737 fleets are not compatible by a long shot. S2 operates a fair number of 737-300s and 400s, which 9W does not. Furthermore, S2 also operates 7 CRJ aircraft, which 9w does not.

But most of all, while 9W has what can best be called "consistent modern interiors", S2 varies from aircraft to aircraft. Luck of the draw, one day on an ancient 737-400 and next day on a reasonably new 737-300 or 700.

Having said all that, and as an Air Sahara loyalist to some extent, this is a great airline from the point of view of how they look after passengers.
Sea to Sky, Racists should Die!!