Kingfisher, Deccan share swap ratio by April

The swap ratio of shares of Kingfisher Airlines and Deccan Aviation will be finalised by April, after which the merger of the two will be effected, a Kingfisher official said.

Rajesh Verma, executive VP, Kingfisher Airlines said the approval of the government as well as Sebi was awaited for the merger of the two airlines.

Verma said that post-merger, Kingfisher would operate as a full service airline (FSA), while Deccan would continue to function as a low-cost carrier.

Although Deccan Aviation would cease to exist, the Deccan brand would continue as a brand differentiator, he told.

Based on a report prepared by Accenture, the two airlines had agreed on the merger. Verma said that Accenture was also looking at the management structure of the two companies. Their report would be submitted next month, he said.

Vijay Mallya would be the chairman of the merged entity and Captain Gopinath the vice-chairman.