Coming soon, another low-cost airline for India. Read details here

Billionaire business tycoon and stock trader Rakesh Jhunjhunwala will launch a startup airline in India by late 2021 or early next year. The airline will be named ‘Akasa’ and piloted by aviation veteran Vinay Dube, reported TOI.

The 61-year-old ace investor told Bloomberg that he is planning to start the airline within the next four years, with a fleet of 70 aircraft. Rakesh Jhunjhunwala is optimistic that more people will travel by air in the future.  

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In his air venture, Jhunjhunwala is inclined to invest $ 35 million and will own about a 4% stake in the airlines. The airlines will be called ‘Akasa’ and an application to get the no-objection certificate (NOC) has already been submitted to the Ministry of Aviation for Akasa’s launch, Dube told TOI.

Akasa Air, which is expected to get a NOC within 15 days, will include a fleet of planes that can carry around 180 passengers. A Delta Airlines executive is expected to join the aviation company, Jhunjunwala said. 

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Ever since the report of Jhunjhunwala’s investment in India’s aviation sector started making rounds, talks have been about how the country’s air sector is already in a bust with the COVID-19 pandemic aggravating the crisis.

Even before the pandemic Indian airlines like Kingfisher and Jet airways were struggling to operate and had to shut their business. 

However, Jhunjhunwala, often called the Warren Buffet of India, sees a lot of potential in the sector and is confident of his new venture.

“For the culture of a company to be frugal you’ve to start off fresh. I’m very, very bullish on India’s aviation sector in terms of demand. I think some of the increment players may not recover. I’ve got some of the best airline people in the world as my partners,” Jhunjhunwala told Bloomberg.