Flyeasy acquires 74% stake in Air Pegasus

Flyeasy, the Bengaluru based regional carrier, has acquired 74 per cent stake in grounded carrier Air Pegasus. A memorandum of understanding has been signed between the two and the promoters plan to resume Air Pegasus services with two ATR-72 aircraft from March 1. The airline will induct 24 planes in four years, including six this year. “We are making an initial investment of Rs 26 crore in Air Pegasus for 74 per cent stake and this will be used to clear dues and resume operations. In the later phase, we will invest Rs 60 crore in the airline,” said Rajesh Ebrahim, Managing Director, Flyeasy. He further informed that his company is pursuing plans to secure permit for Flyeasy, and is in talks with lessors for Airbus A319 aircraft. “Our plan is to create a nationwide network, one with ATRs on Tier-II and Tier-III routes in the south (Air Pegasus) and with Airbus aircraft for long-thin traffic routes,” he added. Air Pegasus began operations in April 2015 with ATR aircraft and flew to eight destinations from Bengaluru, but was forced to suspend operations last July following a cash crunch.

(Source: Business Standard)