Vistara is a joint venture of Singapore Airlines and Tata Group. In the year 2022, the airlines announced the merger. The National Company Law Tribunal ( NCLT ) has approved the merger of Air India and Vistara (Air India-Vistara Merger). This approval has paved the way for the creation of one of the world’s largest airline groups.

The merger was announced in the year 2022. After this announcement, Singapore Airlines will have a 25.1 percent stake in Air India. Vistara is a joint venture of Singapore Airlines and Tata Group.

NCLT issued order copy

The order copy is 31 pages long. According to this order copy, the Chandigarh bench of NCLT approved the “Composite Scheme of Arrangement” involving Talace, Air India and Vistara. Let us tell you that all are part of the Tata Group. Air India hopes that the merger will be completed by the end of this year.

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The Chandigarh bench of NCLT observed that the scheme has already received the necessary approvals from the shareholders and creditors of both the airlines. Apart from this, it has also received applicable approvals including fair trade regulator Competition Commission of India (CCI) and Directorate General of Civil Aviation (DGCA). Apart from this, the Income Tax Department also did not raise any permanent objection.

According to the NCLT order book, the ‘comprehensive scheme of arrangement’ between the petitioner companies and their respective shareholders under sections 230 to 232 and other applicable provisions of the Companies Act, 2013 is approved. It said the approved scheme shall be binding on the petitioner companies and their respective shareholders.

The order also said that the companies shall ensure foreign direct investment (FDI) approval by Singapore Airlines (a shareholder of Vistara) and necessary security clearance under the relevant CARs from the DGCA within a time frame of nine months from the date of this order.

In March this year, Singapore’s competition regulator CCCS gave conditional approval to the proposed merger. The deal got approval from CCI in September 2023, subject to certain conditions. Tata Group took over the loss-making Air India in January

The post NCLT approves merger of Air India and Vistara. Details first appeared on Rightsofemployees.com.

Under this, the applicant should have a net worth of at least Rs 15 crore in the last two financial years. Under the guidelines, the applicant company is required to be listed on the SME platform for at least three years. Apart from this, they must have 250 public shareholders before being transferred to the main board.

These are the new guidelines

The operating profit of the SME should be positive in at least two of the three financial years. Also, the applicant applying for transfer to the exchange must have registered an increase in net profit in the current financial year. “The applicant should have a net worth of at least Rs 15 crore for the last two completed financial years,” BSE said in a circular. Besides, the paid-up equity capital of the applicant should be more than Rs 10 crore and the market capitalization should be more than Rs 10 crore. There should be at least Rs 25 crore.

There should be no issue with this

The applicant company should not have any case pending in the National Company Law Tribunal (NCLT) in the past or present. No regulatory action such as suspension of trading has been taken by any stock exchange against SMEs and their promoters in the last three years. Also, the applicant company along with its promoters as well as its subsidiaries should not be banned by the capital market regulator Securities and Exchange Board of India (SEBI).

The exchange also changed the eligibility criteria for listing on the SME platform. BSE said that the new guidelines will be effective from January 1, 2024. According to the data, so far 464 companies have been listed on the BSE SME platform, out of which 181 have been shifted to the main board.

Top stock exchanges BSE and National Stock Exchange (NSE) launched a dedicated platform for SMEs in March 2012 to ease the way for these companies to get listed and help them raise equity capital for growth and expansion in a cost-effective manner. Was.

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