India's aviation minister said Tuesday he is yet to receive any application from the AirAsia-Tata Sons joint venture for setting up an airline license in India.
Ajit Singh also told reporters that "there are some procedural issues" with the proposed venture. He didn't elaborate.
He said that when the proposal will be approved by the aviation ministry depends on how soon the ministry is satisfied on safety issues, airworthiness of planes and engineers.
The proposal has already got a go ahead from India's Foreign Investment Promotion Board on March 6.
Under the plan, AirAsia, Southeast Asia's largest carrier by fleet size, is to own a 49% stake in the joint venture. Tata Sons--which controls India's diversified Tata Group--would hold a 30% stake and privately held Telestra Tradeplace Pvt. Ltd. the remaining 21%.
AirAsia's plans follow a government decision last September allowing foreign carriers to buy up to 49% stake in India's airlines.
26/03/13 Dow Jones Newswires/Fox Business
