Akasa Air: Rakesh Jhunjhunwala plans to set up new budget airline with $35 million investment, 70 planes

New Delhi: Billionaire investor Rakesh Jhunjhunwala is planning on rolling out around a fleet of 70 aircraft in a four-years for a brand new airline in India.

In a Television interview with Bloomberg, Jhunjhunwala said that he is considering investing $35 million and would own 40% of the carrier, expects to get a no-objection certificate from India’s aviation ministry in the next 15 days.

The ultra-low-cost airline in India will be named Akash Air and the team, which includes a former senior executive of Delta Air Lines Inc.

This is a new big bet of Billionaire investor Rakesh Jhunjhunwala who is also known as Warren Buffet of India. Many airlines in India have come to a standstill due to increasing competition. There is a lot of cost in the operation of airlines and due to increasing competition, the earnings of airlines are being affected. India is considered to be the fastest-growing aviation market in the world, due to which veteran investors like Rakesh Jhunjhunwala want to take advantage of the opportunities being created in this sector.

He believes that many middle-income people in India can now travel in low-cost airlines to travel. He said that people would definitely like to travel in a new low-cost airline if there is a good facility. Rakesh Jhunjhunwala said that a new organization should be formed to build a better image of a company and keep the morale of its employees high. He further said that he has full faith in the demand of the aviation sector of India.