Air India, India's major airline, is seeking a new capital injection of about $1.5 billion from its main shareholders, Tata Sons and Singapore Airlines, according to two people familiar with the matter. Air India posted its largest-ever annual loss last fiscal year, and this would be one of the largest capital calls to shareholders since Tata took control in 2022. Air India and its low-cost subsidiary Air India Express posted a combined loss of $2.33 billion for the fiscal year ending March this year, more than double the previous year's loss. According to the people, the funds are needed immediately, but the actual injection is likely to be phased, and Singapore Airlines will also need to contribute its share. The talks are ongoing and a final decision has not yet been made.
Singapore Airlines LimitedAir India Express, as a subsidiary, is part of the combined loss and capital call, indicating financial strain.
