Air Deccan - Kingfisher deal
Kingfisher has bought 26% shares of AirDeccan and is likely to get 20% via an open offer in the stock market.
This will make Kingfisher the main stakeholder in AirDeccan and is likely to increase the fares. The reason for price hike will be better connectivity. If you miss a flight of Air Deccan you can go by Kingfisher flight if one is available. But in price conscious Indian market and already facing competition from SpiceJet, Indigo, GoAir, that could hurt AirDeccan badly.
This will make Kingfisher the main stakeholder in AirDeccan and is likely to increase the fares. The reason for price hike will be better connectivity. If you miss a flight of Air Deccan you can go by Kingfisher flight if one is available. But in price conscious Indian market and already facing competition from SpiceJet, Indigo, GoAir, that could hurt AirDeccan badly.
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