Flying high, IndiGo eyes Air India for a new take-off

With a market share of over 40 per cent — and counting — the country’s largest airline IndiGo is charting an ambitious trajectory where Air India might provide the perfect ground for its expansion.

The profitable no-frills carrier, which came into existence in August 2006, also has the largest number of aircraft on order, with more than 450 to be delivered in coming years.

Run by InterGlobe Aviation, the airline operates more than 900 flights daily to destinations in India and overseas.

In a significant move that reflects its growing appetite, Gurgaon-based IndiGo has announced plans to purchase 50 ATR turbo-prop planes worth USD 1.3 billion as part of efforts to tap the high growth potential regional aviation market.

IndiGo, eyeing the “tremendous growth opportunities” in the smaller cities (tier 2 and 3), seeks to be part of the government’s regional air connectivity scheme UDAN by inducting the ATR planes.

Despite intense competition and the entry of new players in the fast-growing Indian aviation market, IndiGo has managed to stay the course while steering clear of common industry practices such as offering frequent flyer programmes.

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