The show, in Abu Dhabi, has been sponsored by Etihad Airways and Malhotra also visited the airline's state-of-the-art Innovation Centre and Training Academy, the airline said.
With over 75 models on the catwalk, Malhotra became the first Indian fashion designer to present a virtual reality experience.
"I am thrilled to launch the immersive virtual reality experience with Etihad Airways at its state-of-the-art Innovation Centre to allow viewers to share in the excitement of attending my Lakme Fashion Week Festive collection showcase," Malhotra said in a statement.
The next edition of Lakme Fashion Week takes place in Mumbai from February 1. During his visit, the designer was given a tour of the Innovation Centre that houses mock-ups of Etihad Airways' A380 and Boeing 787 premium cabins, including its award-winning three-room suite - The Residence.
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The visit also covered a tour of the cabin crew training facilities and a Q&A session about the fashion industry.
"He is an energetic, innovative and visionary designer who has helped elevate Mumbai into one of the world's fashion capitals. We are proud to collaborate with him, particularly in India where Etihad Airways is a key player serving many cities across the country with our strategic partner Jet Airways.
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