The Competition Commission of India (CCI) has approved the merger of Tata SIA Airlines into Air India, and the acquisition of certain shareholdings of Air India by Singapore Airlines.

However, this is yet to be followed by the voluntary commitments proposed by the parties concerned.

The proposed combination for this includes the following:
- It is envisaged to merge Tata SIA Airlines Limited (TSAL/Vistara) with Air India Limited (AIL/Air India), with AIL continuing to exist (as the post-merged entity).
- In view of the merger, the shares of the post-merger entity will be acquired by Singapore Airlines Limited (SIA) and Tata Sons Private Limited (TSPL) and
- Post-merger, additional shares in the entity will be acquired by SIA as per preferential allotment.
TSPL is an investment holding company, registered with the Reserve Bank of India as a Core Investment Company and classified as a ‘Systemically Important Non-Deposit Taking Core Investment Company’.
TSPL (through Talese Private Limited) completed the acquisition of AIL on 27 January 2022.
AIL, through its wholly owned subsidiaries Air India Express Limited and AIX Connect Private Limited, is engaged in a number of activities including:
- domestic scheduled air passenger transport service,
- International scheduled air passenger transport service (AIX Connect Private Limited does not provide this service),
- air cargo transportation services; And
- Engaged in the business of providing charter flight services.

Shareholding of TSPL and SIA:

TSAL is a joint venture between TSPL and SIA, with TSPL and SIA holding 51% and 49% of the total shareholding respectively.
TSAL operates under the brand name ‘Vistara’. TSAL is engaged in the business of providing the following services:
- domestic scheduled air passenger transport service,
- international scheduled air passenger transport service,
- air cargo transportation services; And
- Charter Flight Services (Domestic & International).
SIA is actually the parent unit of SIA Group of Companies (SIA Group). SIA is engaged in the business of passenger and cargo air transportation, and the principal activities of the SIA Group include passenger and cargo air transportation, engineering services, training of pilots, air charter, tour activities, merchandising and related activities.

Competition Commission of India (CCI):

CCI was formally constituted as a statutory body in March 2009.
CCI is responsible for implementing the objectives of the Competition Act, 2002.
Based on the recommendations of the Raghavan Committee, the Monopolies and Restrictive Trade Practices Act (MRTP Act), 1969 has been repealed and replaced by the Competition Act, 2002.

Composition of CCI:

The CCI consists of a Chairman and six members who are appointed by the Central Government. Its chairman and other members are full time.
The CCI is a quasi-judicial body that advises statutory authorities as well as directs other matters.