The boards of directors of Jet Airways (India) Ltd and Jet Lite Ltd, the wholly-owned subsidiary of Jet Airways, have approved the merger of Jet Lite with Jet Airways.
Consequent to the merger, Jet Lite will become part of Jet Airways and operate as a separate division of Jet Airways. This will result in more focused operational efforts, realising synergies in terms of compliance, governance, administration and costs.
The merger will further strengthen Jet Airways’ efforts in providing a consistent, single brand product and service offering across the network, leading to a stronger market presence.
This is subject to compliance with all applicable laws and regulations and the receipt of all corporate, regulatory, governmental, judicial approvals and third party consents.
Naresh Goyal, Chairman, Jet Airways, said, “Jet Airways has made demonstrable progress in the implementation of its three-year turnaround strategy with the objective of returning to profitability. The merger of Jet Lite into Jet Airways is a key step to strengthen Jet Airways’ operations and create a seamless organisation, delivering exceptional service to its guests.”
The boards of directors’ approval today follows the earlier decision taken by Jet Airways to streamline and align its domestic operations, creating a strong, uniform Jet Airways master brand and implementing a consistent, full service, single brand strategy across the entire domestic airline operation.
Recently, Jet Airways Group posted a significantly improved performance for the first quarter of FY16, achieving progress on all key fronts of business with substantial growth in all major key performance indicators in a turbulent and competitive business environment.
The three-year turnaround strategy and synergies from the strategic alliance with Etihad Airways have gained further momentum with a demonstrable positive impact on the business.