Air Works plans venture to manage private jets

Mumbai: Aircraft maintenance and repair firm Air Works India Engineering Pvt. Ltd plans to set up a joint venture for managing and running private jets for corporate houses and high net-worth individuals, a top executive said.
The maintenance, repair and overhaul (MRO) company is in talks with private jet owners for the venture, said Ravi Menon, director, Air Works. “The idea is to have a whole range of activities under the umbrella of Air Works,” he said.
The firm will not own any private jets but manage them for clients.
“It will not be a fractional ownership format either,” Menon said, but declined to give more details, saying the talks are at an early stage.
The fractional aircraft ownership model allows multiple people to own a single aircraft and share flying time without having to deal with maintenance and related issues.
In addition to part-ownership of the aircraft, customers can buy extra flying time.
Engineering firms Punj Lloyd Ltd and US-based private equity firm Global Technology Investment Group each hold a 33% stake in Air Works.
“It makes commercial sense for Air Works as it will have captive clients for repairs and can diversify into new businesses too,” said an aviation expert, who did not want to be identified.
04/10/09 P.R. Sanjai/Live Mint

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Categories: Indian Aviation- In General Oct 2009, New Oct 2009