MUMBAI: Southern regional carrier Air Costa Friday denied reports that it is in talks with Qatar Airways for a stake sale.
“Like every company, we are on the lookout for funds. But this news of talks with Qatar Airways is incorrect. We haven’t appointed any banks or even consultants for this. How can serious talks take place without all this? And why would a carrier like Qatar talk to a regional carrier like Air Costa without these representatives,” Kavi Chaurasia, vice president, marketing at the airline, told ET.
A news report had last week said Air Costa may sell a 26% stake to Doha-based Qatar Airways. Qatar has been keen for a strategic tie-up in India and has publicly been wooing IndiGo for the same. It has in the past, however, denied rumours of similar talks with SpiceJetBSE -2.46 %. A Qatar spokesperson on Thursday said it may respond to the report on talks with Air Costa on Monday.
ET today reported Air Costa had delayed June salaries to some employees citing an apology email sent by its AVP HR Kavitha Yarlagadda on August 4.
Chaurasia said all salary issues have been sorted including the one mentioned in the mail. A person close to the development said they haven’t been sorted yet.
Chaurasia was reiterating a claim he had made last week when Air Costa grounded operations for a day on payment issues with the lessor GE Capital Aviation Services (GECAS).
Vijayawada-based Air Costa operates a fleet of three Embraer E190 jets. Chaurasia said a fourth one is likely to join the fleet within a month.
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Source: Economic Times
