Kingfisher eyes Rs 20,000cr

Mumbai: Kingfisher-Air Deccan combined entity is expected to earn the total revenue of Rs 20,000 crores by March 2011. This was stated by UB Group chief financial officer Ravi Nedungadi on Thursday.
He said, "Kingfisher Airlines is also expecting to break even by the first half of the next financial year. We are hoping for an early break even because of the accelerated revenues and the cost synergy of Kingfisher-Air Deccan combined entity. The biggest strength of Air Deccan is its vast network. Our management philosophy will be to drive advantage out of it. We will decide on the fleet expansion plan after the completion of integration process of both the companies. Also, Kingfisher would not come out with an IPO in the next 12 to 18 months."
UB Group is set to hike its share in Deccan Aviation Ltd from 26 per cent to 46 per cent after its open offer to buy further 20 per cent stake in Deccan was oversubscribed. UB bought 26 per cent shares of Deccan in May 2007 for Rs 550 crores. The shareholders of Deccan Aviation Ltd tendered 35 million shares against UB Group’s open offer to buy 27 million Deccan shares at the price of Rs 155 per share.
04/10/07 The Asian Age

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Categories: Air Deccan Oct 2007, Kingfisher Oct 2007