Air Pegasus has been in operational limbo since July 2016
Bengaluru-based regional airline Air Pegasus has received an undisclosed strategic investment from a yet to be launched startup airline FLYeasy, which is also based out of the southern metro.
With this investment, Air Pegasus, which has been in operational limbo since July 2016 due to financial troubles, will recommence its flight operations beginning March 1, 2017, read a statement from the airline. The partnership also brings with it a new corporate structure that would oversee the operations of both airlines.
"Air Pegasus will continue as a regional airline operating in tier 2 and tier 3 cities while FLYeasy will operate as a pan-India operator with an all Airbus fleet and will have a commercial launch on May 2017,” said Shyson Thomas, Managing Director of Air Pegasus.
While details of the new corporate structure were not shared, the statement did throw some light on a new management structure. Thomas will be on the board of the group entity of the two airlines and will operate in the capacity of Vice Chairman, while Rajesh Ebrahim the present Managing Director of FLYeasy will be the group CEO. “Strategic partnerships and codeshares will be the future of Indian aviation and I feel that we have moved in the right direction,” said Ebrahim.
However, many in the aviation industry are skeptical of this development. Says an aviation entrepreneur, who requested that his name not be published, “Air Pegasus has been shut for four months, while FLYeasy is not even airborne yet. I’m given to understand that Air Pegasus' aircrafts have been repossessed by lessors.” He goes on to add, “Consolidation is only when two airlines [that are operational] come together.”
Air Pegasus began operations from the Kempegowda International Airport, in Bengaluru, in April 2015 and operated flights to Hubli, Thiruvananthapuram, Madurai, Mangalore, Chennai, Kadapa and Madurai. It is prompted by Thomas’ Decor Aviation which provides ground handling services to foreign and Indian airlines across 11 airports in India.