Vistara’s board approves Rs 3.1 billion worth equity infusion

Vistara’s board has approved an equity investment of Rs 3.1 billion in the airline, as against its incremental equity requirement of Rs 6 billion. The board noted that the transaction was for a long-term investment in the airline by Tata Sons, the joint venture partner. Meanwhile, Vistara has reported a loss of Rs 3.99 billion and revenues of Rs 7.14 billion in 2015-16. It had a budgeted loss of Rs 3.35 billion. The airline is aiming to be cash positive by 2018-19 and profitable by 2020-21. Besides, plans to discontinue the premium economy class after a timeline of one year are also on the anvil.