Tata to merge 4 airlines under Air India, Vistara to shut down

Tata Group is considering a plan to integrate its four airline brands under Air India Ltd. India's largest conglomerate is also considering scrapping the Vistara brand, which is Singapore Airlines Ltd.'s local affiliate in the South Asian nation, the people said, declining to be identified because the discussions are private. Singapore Airlines is evaluating the size of stake it should take in the combined entity, one of the people said.

Air India is gearing up for a revamp under its new owner Tata. The full-service carrier is considering ordering as many as 300 narrow-body jets, a transaction that would be one of the largest orders ever in commercial aviation history. Air India Chief Executive Campbell Wilson last month said the airline will triple its fleet of 113 aircraft over five years, with a "significant" increase in both narrow and wide-body aircraft. Air India is also in discussions to raise at least $1 billion in a funding round that could value the carrier at around $5 billion, other people familiar with the matter said in late September. The airline is planning to add 25 Airbus SE and five Boeing Co. aircraft from lessors, starting in December.