Source = e-Travel Blackboard: N.J
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AirAsia Berhad is planning to move its low-cost model into India, submitting an application to India’s investment regulators for a new airline venture.
In the application submitted to the Indian Foreign Investment Promotion Board this week, AirAsia requested to invest 49 percent into the new carrier, which would be a joint venture with Tata Sons Limited and Telestra Tradeplace.
According to the low-cost group, the Indian airline would operate from Chennai, Tamil Nadu and focus on providing domestic Tier II/Tier III city connectivity.
AirAsia founder Tony Fernandes said the group had monitored the aviation sector in India over the past few years and now “strongly believes” that the current environment is “perfect” to introduce AirAsia and its low fare model.
The move comes after the September 2012 decision by the Government of India to open up the aviation sector to Foreign Direct Investment from foreign carriers.