Mumbai: After being the success story of the low-cost carriers in India, Indigo, one of the few Indian airlines which is profitable, wants to remain true to its low-cost model despite its plans to get listed on local bourses.
The Gurgaon-based airline, which is set to go public by offloading close to 12% of the promoters’ stake to institutional and retail investors, is banking on the “structural cost advantage” its business model brings to maintain its position as the country’s largest passenger airline.
According to Aditya Ghosh, president, IndiGo, the company wants to not only maintain its focus on domestic airline market but also use only single type of aircraft in its fleet to persist the cost advantage it enjoys. He suggests that while Indigo may look to use its current fleet of A320 airplanes for covering some of the international cities, IndiGo does not have any ambition of doing long hauls with different types of airplanes that complicates the business model.
20/10/15 Financial Express
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The Gurgaon-based airline, which is set to go public by offloading close to 12% of the promoters’ stake to institutional and retail investors, is banking on the “structural cost advantage” its business model brings to maintain its position as the country’s largest passenger airline.
According to Aditya Ghosh, president, IndiGo, the company wants to not only maintain its focus on domestic airline market but also use only single type of aircraft in its fleet to persist the cost advantage it enjoys. He suggests that while Indigo may look to use its current fleet of A320 airplanes for covering some of the international cities, IndiGo does not have any ambition of doing long hauls with different types of airplanes that complicates the business model.
20/10/15 Financial Express
